5 guides, read top to bottom, take you from What Goes Into a Mortgage Payment: PITI and More to Budgeting for Homeownership Costs Beyond the Mortgage Payment.
Read in this order
Principal, interest, taxes, insurance, mortgage insurance and HOA dues explained, plus how escrow accounts work.
- The part that repays the loan and pays the lender for the use of money.
- Property taxes are set by local governments and can change each year as assessed values and tax rates change.
- Escrow Analysis and Shortages1 min read
Why your escrow payment changes each year and how to handle a shortage.
- Your servicer reviews the escrow account at least once a year and projects the next year’s taxes and insurance.
- If taxes or insurance rose, the account may be short.
How to find a realistic property tax figure for a home you are considering, and why it can change after you buy.
- Start with the county assessor or treasurer website, which lists assessed value, exemptions and the tax rate.
- In many places, a sale triggers reassessment closer to the purchase price.
- Homeowners Insurance and Your Mortgage1 min read
What lenders require for hazard insurance, how premiums affect your payment, and how to shop coverage.
- Lenders require hazard insurance for at least the lesser of replacement cost or the loan amount, naming the lender as mortgagee.
- Lenders may limit deductibles.
A planning guide to recurring and irregular costs that come with owning a home.
- Homes need ongoing upkeep, from filters and gutters to larger items like roofs, water heaters and HVAC systems.
- Ask the seller or utility companies for typical monthly costs for electricity, gas, water, sewer and trash.
Run your own numbers
5 calculators on this site, all blank until you type:
- Payment and amortization
- Affordability estimate
- Rent or buy comparison
- Debt-to-income check
- Closing cost worksheet
Check which programs fit
The loan finder asks six questions and points you to the programs worth reading about, with a side-by-side comparison table. It is education, not an eligibility decision.
Terms you will meet in these guides
- Servicerfirst in Escrow Analysis and Shortages
- Escrow accountfirst in Escrow Analysis and Shortages
- Debt-to-income ratio (DTI)first in Homeowners Insurance and Your Mortgage
- Private mortgage insurance (PMI)first in What Goes Into a Mortgage Payment: PITI and More
- Principal
Everything here is general education. Program rules change; confirm current requirements with the official sources below and with a licensed lender.
Sources
- Regulation X, 12 CFR 1024.17
- CFPB: What is an escrow account?
- CFPB: Loan Estimate explainer
- CFPB: Force-placed insurance
- FloodSmart (NFIP)
- FEMA: Flood Map Service Center
Sources reviewed . This page was assembled from the guides on this site.