Finance
What does 'PITI' stand for in mortgage terminology?
APrincipal, Interest, Taxes, Insurance✓ Correct
BPrice, Income, Title, Investment
CProperty, Inspection, Transfer, Insurance
DPremium, Interest, Term, Index
Explanation
PITI stands for Principal, Interest, Taxes, and Insurance — the four components typically included in a monthly mortgage payment. Lenders use total PITI to calculate whether a borrower's housing costs are within acceptable debt ratios.
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