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Glossary of Notary Public, Mortgage, Signing Agent, and Loan Signing Terms.

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Annual Percentage Rate

Phonetics: an·nu·al per·cent·age rate    \'an-yə(-wə)l\    \pər-'sen-tij\    \'rāt\

Function: noun

The Truth in Lending Disclosure is the best place to look for the APR. The Truth in Lending Disclosure quotes the APR as well as discussing what payements are due when.

Definition 1:
The Annual Percentage Rate ( APR ) reflects the cost of a mortgage as a yearly rate. This rate is likely to be higher than the stated note rate or advertised rate on the mortgage, because it takes into account points and other credit costs. This Annual Percentage Rate ( APR ) allows the home buyers to compare different types of mortgages based on the annual cost for each loan.