1. What is the PITI Mortgage Calculator?

The PITI (Principal, Interest, Taxes, Insurance) Mortgage Calculator estimates biweekly mortgage payments using the Bankrate formula. It calculates the periodic payment amount including all major components of a mortgage payment.

2. How Does the Calculator Work?

The calculator uses the Bankrate biweekly formula:

Where:

• \( Loan \) — Total loan amount ($)
• \( Rate \) — Interest rate per biweekly period (decimal)
• \( Periods \) — Total number of biweekly payment periods

Explanation: This formula calculates the standard monthly payment using annuity formula, then divides by 2 to get the biweekly equivalent as per Bankrate methodology.

3. Importance of Biweekly PITI Calculation

Details: Biweekly payments can help homeowners pay off mortgages faster and save on interest. Accurate PITI calculation is crucial for budgeting and financial planning.

4. Using the Calculator

Tips: Enter loan amount in dollars, interest rate as decimal per biweekly period (annual rate ÷ 26), and total biweekly periods (years × 26). All values must be positive.

5. Frequently Asked Questions (FAQ)

Q1: How do I convert annual rate to biweekly rate?
A: Divide the annual interest rate by 26 (number of biweekly periods in a year).

Q2: What's the advantage of biweekly payments?
A: You make 26 half-payments per year (equivalent to 13 full monthly payments), which pays down principal faster and reduces total interest.

Q3: Does this include taxes and insurance?
A: The PITI acronym includes Principal, Interest, Taxes, and Insurance, but this calculator focuses on the principal and interest components.

Q4: How accurate is this calculator?
A: It provides estimates based on standard formulas. Actual payments may vary based on lender policies and additional fees.

Q5: Can I use this for different payment frequencies?
A: This calculator is specifically designed for biweekly payments. For monthly payments, use the standard annuity formula without dividing by 2.