Mortgage payment breakdown: How mortgage principal and interest works

Mortgage payment breakdown: How mortgage principal and interest works

A monthly mortgage payment includes at least two parts: an amount that goes towards the principal and a second amount that goes towards interest. When you’re looking at your home loan, it’s important to understand what your mortgage payment is going towards each month and how your lender is calculating this amount. So what is […]

Debt-to-income ratio: What to know before applying for a home loan

Debt-to-income ratio: What to know before applying for a home loan

When you’re applying for a loan, one of the most important factors in determining your final mortgage amount is your debt-to-income ratio. Learn more about this percentage and why it’s so important. Your debt-to-income ratio is the percentage of your monthly gross income that is used to pay your monthly debts including housing. It’s important […]

Private Mortgage Insurance: How PMI works and what to consider

Private Mortgage Insurance: How PMI works and what to consider

When you’re purchasing a home, you may be required to have Private Mortgage Insurance, or PMI, if you’re putting less than 20% down. Private Mortgage Insurance is insurance to protect lenders against a loss if a borrower defaults on the loan. PMI costs will likely result in a slight increase in your overall monthly payment, […]

Mortgage APR: The difference between APR and interest rate

Mortgage APR: The difference between APR and interest rate

The annual percentage rate (APR) is designed to show you the total cost of the loan, which can be helpful when comparing loans from different lenders. The annual percentage rate measures both the interest charged as well as any other fees paid at closing that may include: • Origination fees • Private Mortgage Insurance — […]

Getting A Mortgage In Today’s Market

Getting A Mortgage In Today’s Market

The market has changed significantly in recent years. Get helpful advice on how to prepare for and what to expect from the mortgage application process. Key Takeaways • Today’s loan approval process is much more thorough than in years past • Be prepared to show all income and assets, any outstanding debts owed and specific […]

Mortgage terms: Key definitions you should know when financing a home

Mortgage terms: Key definitions you should know when financing a home

When you’re considering buying a home, there are a number of financial terms that come with the territory. Here’s a quick vocabulary lesson of some of the most important terms you’ll need to know. When you start speaking to a lender or real estate agent, it’s easy to get confused if you don’t already speak […]



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