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Did you know one extra mortgage payment a year can take 4 to 6 years off your loan? It helps to understand what makes up your payment. A mortgage is broken into PITI which stands for principal, interest, taxes, and insurance. Principal is the actual loan balance, interest is the cost of borrowing, and taxes and insurance stay fairly consistent through escrow. Mortgages are front loaded with interest, so in the early years most of your payment goes to the bank rather than reducing your balance. T
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