What You Always Wanted to Know About PITI

This week I wanted to talk briefly about the mortgage acronym PITI:

• Principal - how much you borrow
• Interest - the interest rate at which money is borrowed
• Taxes - property taxes assessed by local government
• Insurance - home owner's insurance

Interest rates have been "hovering around" six percent for the better part of a year but if rates increase...so will the monthly mortgage payment.