When it comes to getting a mortgage, there is usually going to be more than just the amount you pay back to the bank on the bill each month. Here are some of the basic components of an average mortgage payment if you’re purchasing a condo in Beacon Hill,  Back Bay, Seaport District or for that matter any where in Boston.

Principal

This is the actual amount a borrower gets from the bank for the Boston condo. Early in the life of the loan, little of the payment will go toward paying back the principal. The amount of principal paid each month will go up over time as the borrower pays back the loan.

Interest

This part of a mortgage payment goes to the bank for the privilege of borrowing. Interest payments can be fixed or variable. The amount of interest paid is inverse to the amount of principal that gets paid back over time, as the interest is calculated on the amount of principal that’s still outstanding.

Private Mortgage Insurance (PMI)

PMI is an expense that not every property buyer will pay, but many lenders require this form of insurance. Only borrowers who had a down payment of less than 20 percent will have to pay for PMI, whereas those who put down more than this amount will avoid paying PMI altogether.

Homeowners Insurance

Most banks require borrowers to purchase a homeowners insurance policy. This form of insurance will protect both borrowers and lenders from fires and other common hazards that can destroy a property. In the event of a loss, owners of Boston Beacon Hill condos will only have to pay their deductible.

Property Taxes

With few exceptions, just about anyone who purchases a condo or loft will have to pay taxes to the local jurisdiction. These taxes are generally based on the value of the property and go to support local schools, police, fire departments, and other assorted services.

Boston condos for sale

Back Bay Boston condos
Beacon Hill  Boston condos
Charlestown Boston condos
Navy Yard Charlestown  Boston condos
Dorchester Boston condos
Fenway  Boston condos
Jamaica Plain Boston condos
Leather District Boston condos
Midtown  Boston condos
Seaport District Boston condos
South Boston new condos
South End new condos
Waterfront new condos
North End  new condos

West End new condos
East Boston condos

Condos around the Beacon Hill area to rent:

Back Bay area condos for rent
Beacon Hill area condos for rent
Charlestown area condos for rent
Navy Yard Charlestown area condos for rent
Dorchester area condos for rent
Fenway area condos for rent
Jamaica Plain area condos for rent
Leather District area condos for rent
Midtown area condos for rent
Seaport District area condos for rent
South Boston area condos for rent
South End area condos for rent
Waterfront area condos for rent
North End area condos for rent

West End new condos
East Boston condos

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