Full PITI Calculator
Most mortgage calculators only show P&I — your principal and interest payment. Lenders, however, qualify you based on PITI, which includes taxes and insurance. This calculator gives you the real number.
What Each PITI Component Means
P — Principal
Principal is the portion of your monthly payment that reduces your loan balance. In the early years of a 30-year mortgage, principal makes up a very small share — on a $720,000 loan at 6.875%, only about $553 of your first payment goes to principal while $4,125 goes to interest. This ratio gradually shifts over the life of the loan.
I — Interest
Interest is the cost of borrowing. At the current 30-year rate of 6.875%, you're paying $6.59 per month for every $1,000 borrowed. On a $720,000 loan, that's $4,745/month in P&I alone. The 15-year rate is lower (6.25%) but with a significantly higher monthly payment.
T — Taxes
Property taxes in NYC are collected by the city and vary by property class. Class 1 (1–3 family homes) and Class 2 (condos, co-ops, and larger apartments) have different assessment methodologies. Many buyers are surprised that their lender will escrow property taxes monthly — your $8,500 annual tax bill becomes $708/month added to your mortgage payment.
I — Insurance
Homeowner's insurance protects your property against fire, theft, and liability. In NYC, condo and co-op buyers need an HO-6 policy covering the interior of their unit. Typical NYC HO-6 policies run $1,500–$3,000/year. Single-family homeowners need a full HO-3 policy, which costs more. Lenders require proof of insurance and will escrow your premium monthly.
Sample PITI by NYC Borough (2026)
Using median prices per borough, 20% down, 6.875% rate, with estimated taxes and insurance:
| Borough | Median Price | Down (20%) | Loan | P&I/Mo | Tax/Mo | Ins/Mo | Total PITI | Income Needed |
|---|---|---|---|---|---|---|---|---|
| Manhattan | $1,200,000 | $240,000 | $960,000 | $6,326 | $1,000 | $250 | $7,576 | $324,686 |
| Brooklyn | $800,000 | $160,000 | $640,000 | $4,218 | $667 | $200 | $5,085 | $217,929 |
| Queens | $650,000 | $130,000 | $520,000 | $3,427 | $542 | $175 | $4,144 | $177,600 |
| Bronx | $450,000 | $90,000 | $360,000 | $2,372 | $375 | $150 | $2,897 | $124,157 |
| Staten Island | $550,000 | $110,000 | $440,000 | $2,900 | $458 | $200 | $3,558 | $152,486 |
Pro tip: When comparing apartments in different boroughs, always look at total PITI — not just the asking price or P&I. A $650,000 Queens condo might have lower taxes than a similar-priced Brooklyn property, meaningfully reducing your monthly cost.
Why Lenders Use PITI, Not Just P&I
When you apply for a mortgage, lenders calculate your front-end debt-to-income ratio (DTI) using your full PITI payment. The conventional rule is 28% — your housing costs shouldn't exceed 28% of your gross monthly income.
If your PITI is $5,000/month, you need at least $17,857/month in gross income ($214,286/year) to qualify under the 28% rule. Most NYC lenders are somewhat flexible — some will allow up to 32–36% front-end DTI for well-qualified borrowers with strong reserves and credit scores above 740.
The back-end DTI (all debts including student loans, car payments, credit cards) must typically stay below 43–45%. In NYC, where many buyers carry student loan debt, this can be a binding constraint even at high incomes.
PITI vs. True Monthly Cost in NYC
For condo and co-op buyers, PITI is not the complete picture. Add these NYC-specific monthly costs:
- Condo common charges: $500–$2,000+/month for building services, utilities, staff
- Co-op maintenance fees: $800–$3,000+/month (includes underlying mortgage and property taxes)
- Parking: $300–$700/month in NYC garages
- Flip taxes (co-ops): Paid at sale, not monthly, but affects resale planning
Important: When qualifying for a mortgage on a condo, lenders also factor in the HOA/common charge in your DTI. A $1,500/month common charge can significantly reduce how much mortgage you qualify for.
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