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Catalina Traylor

What is included in a mortgage payment?

As you've been googling, I'm sure you've seen the term PITIA. This is the popular acronym to help you remember what is part of your mortgage payment.


P: principal part of your loan balance


I: interest on your loan


T: property taxes, which varies by state

in CA, we use 1.25% of the purchase price or appraised value (whichever is higher) divided by 12 to calculate property taxes

in WA, we use 1% with the same calculation as above


I: mortgage insurance, which is calculated based on your down payment and loan program

FHA always requires mortgage insurance, but the factor depends on your down payment

Conventional only requires mortgage insurance if you put less than 20% down

Jumbo loans do not require mortgage insurance

VA loans do not require mortgage insurance


A: association dues, i.e. HOA dues if you're in a community

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