Mortgage Calculator
Understanding Mortgages
A mortgage is a loan used to purchase real estate. The property serves as collateral for the loan.
PITI Breakdown
- P: Principal - paying down the loan
- I: Interest - cost of borrowing
- T: Taxes - property taxes
- I: Insurance - homeowner insurance
💡 Tips
- 20% down payment avoids PMI
- Consider 15-year mortgage for significant interest savings
- Property taxes vary widely by location
- Get pre-approved before house hunting