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Mortgage Glossary

PITI

Defined by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker

PITI stands for the four parts of a mortgage payment: principal, interest, taxes, and insurance.

What PITI means

Lenders use PITI to measure your housing ratio. In Florida, taxes and insurance can be a large share of PITI because of property values and hurricane risk.

Florida example

A Florida borrower's PITI might be $1,800 principal and interest plus $400 taxes and $500 insurance, for $2,700 total. The full PITI, not just principal and interest, is what counts toward qualifying.

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