Interest Rates

Today we locked in our mortgage. Points are a percentage of your total loan amount which you have to pay on top of your monthly loan + interest (I believe this is called Principal + Interest, which equals PI). The "TI" of PITI is the addition of (property) taxes and (hazard) insurance. You can deduct points on your taxes (in some cases), which hopefully means that in the long term we aren't paying as much. We locked this in after Freddie Mac and Fannie Mae started tanking in the stock market. Scary thing! Interest rates have been getting higher by the day. When we first started looking (A few months ago), they were around 5.75%. Better lock this in before it gets any higher!