Understanding Your Monthly Payment

UNDERSTANDING YOUR MONTHLY PAYMENT

So are you ready to be a homeowner?

One thing to consider in preparing for this huge step is the added expense. I am not trying to scare you but there is more than your mortgage payment to be prepared for.

As a renter you pay your rent $1000 a month and probably utilities.

As a homeowner you pay PITI. ( Principle, Interest, Taxes and Insurance)

Principle -the amount you owe to the lender - loan amount paid out over a period of time ( usually 30 yrs)

Interest -the cost of borrowing the money ( interest rate)

Taxes - Property Taxes

Insurance - Homeowners Insurance and sometimes flood insurance

At New American Mortgage we offer a FREE Mortgage Consultation for you!