Besides the actual mortgage payment, which also factors into the monthly payment on a home?
a. repair costs
b. renters’ insurance
c. property taxes
d. down payment
Answer Explanation for Question: Besides the actual mortgage payment, which also factors into the monthly payment on a home?
In addition to your mortgage payments, you also have to pay your property taxes, homeowner’s insurance, and home repairs on a monthly basis. The homeowners association may also charge homeowners dues. Monthly dues cover maintenance of clubhouse, pool, and tennis courts, as well as water, sewage, and garbage.
Mortgages are long-term loans used to buy a house. Along with repaying the principal, you also have to pay interest to the lender. Collateral is the home and its surrounding land. However, if you’re considering buying a home, you should know more than these generalities. Fixed costs are importantly a part of business, especially in regards to shutdowns.
Mortgage payments are primarily determined by the size and term of the loan. A loan’s size and its term are the amount borrowed and how long it will take you to repay it. Larger loan terms result in lower monthly payments. The most popular mortgage is the 30-year home loan. With a mortgage calculator, you can compare mortgage types and lenders after you know the size of the loan you need to buy your new home.