A high PITI payment has more than one lever. Here are seven ways to pull them.
- Refinance to a lower rate. Even half a point can save tens of thousands over the life of the loan.
- Extend the term. Going from 20 back to 30 years lowers the payment, though you pay more interest overall.
- Remove PMI. Once you hit 20% equity, ask your lender to cancel private mortgage insurance.
- Shop home insurance. Rates vary hundreds of dollars between insurers for identical coverage.
- Appeal your property tax assessment. Many assessments are inflated; a successful appeal lowers the tax line.
- Make a larger down payment. A smaller loan means a smaller payment, and no PMI.
- Pay points upfront. Buying the rate down costs now but saves every month after.
Test each scenario on our mortgage calculator — change one variable at a time and watch the payment and total interest update instantly.