Mortgage Information and Resources
PITI
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Mortgages - The four main components of a mortgage are Principal, Interest, Taxes and Insurance
Principal is the amount of money you borrowed from
the lender. The amount borrowed is paid back according
to the terms of your
mortgage along
with interest.
Interest is a fee you pay back to the
lending institution for the privilege of borrowing the money. Interest rates vary greatly and
you are advised to shop for the best rates
Taxes indicate your
property taxes, these include items like your city tax, county tax and school education tax.
Insurance is the coverage you have on you house to protect you from loses. Always read your policy to be sure you have adequate
insurance
coverage.
