What is PITI?
If you’re buying a home for sale in Riverview and you’re like most people, you’re going to need a mortgage loan to purchase. However, you have to understand what your house payments will be like – and the first thing to know is what PITI stands for.
What is PITI?
PITI is an acronym that references the four factors that influence your monthly house payment:
- Principal
- Interest
- Taxes
- Insurance
Principal
Principal is the amount you borrow from a lender, and it refers to the amount of the loan (not interest) that you’re scheduled to pay off every month.
Interest
Interest is the cost of doing business with the lender; it’s how the lender gets paid for lending you the money in the first place.
Taxes
Taxes are the property taxes rolled into your monthly house payment. These taxes are usually paid by your lender at the end of the year or when taxes are due in your locality.
Insurance
Insurance is the amount of your monthly mortgage payment that goes toward hazard and fire insurance. (That’s commonly called homeowners insurance.)
Are You Buying a Home in Riverview?
Check out our:
- Riverview homes for sale under $100,000
- Riverview homes for sale between $100,000 and $200,000
- Riverview homes for sale between $200,000 and $300,000
- Riverview homes for sale between $300,000 and $400,000
- Riverview homes for sale between $400,000 and $500,000
- Riverview homes for sale between $500,000 and $600,000
- Riverview homes for sale between $600,000 and $700,000
- Riverview homes for sale between $700,000 and $800,000
- Riverview homes for sale between $800,000 and $900,000
- Riverview homes for sale between $900,000 and $1,000,000
- Riverview homes for sale over $1,000,000
When you’re ready, call us at 813-961-6000. We’ll help you find the right home for your needs!
