FirstBank FTHBPacket FinalNoBleeds - Flipbook - Page 19
YOUR MORTGAGE STATEMENT
Your monthly mortgage payment is likely to include four elements:
Principal, Interest, Taxes, and Insurance -- referred to as PITI.
The portion of your monthly payment that reduces
the balance of your loan amount.
The portion of your monthly payment that
is applied toward your interest.
Usually one-twelfth of the annual property tax bill.
The Servicer holds the payments in escrow until the taxes are due.
Property insurance is required on every home. Like taxes, they are made
with each payment and held in escrow until the bill is due to be paid.