All you want to know about Monthly mortgage payment
Are you planning to buy a house? Are you ready to manage monthly mortgage payments ? You must know about the monthly mortgage payments and how much can be afforded by you. So, know that why you are paying and for how long you have to pay mortgage loans . Components of Monthly mortgage payment? · Principal- The primary component of the mortgage payment is principal. It is the original amount of money that is borrowed from the lender for buying the house. · Interest- The lenders give you money so that they can make money on the borrowed amount. Interest is the percentage of the original amount of the loan. The mortgage interest rates keep on changing. So, select a mortgage loan with a fixed interest rate that has to be paid monthly. · Tax- When you buy the house then you have to pay a certain amount of tax to the local government that is known as property tax. The property taxes pay for police, firefighters, schools, public services, and roads. ·