Carlos earns a gross income of $5,590 per month and applies for a mortgage with a monthly PITI of $1,229.80. Carlos has otherfinancial obligations totaling $978.25 per month.If the lending ratio guidelines are as given in the table below.Lending Ratio GuidelinesMortgage TypeHousing Expense RatioTotal Obligations RatioFHA29%41%Conventional28%36%What type of mortgage, if any, would Carlos qualify for?O Carlos qualifies for an FHA mortgage under the lending guidelines, but not a conventional mortgage.O Carlos qualifies for a conventional mortgage under the lending guidelines, but not an FHA mortgage.Carlos qualifies for both an FHA mortgage and a conventional mortgage under the lending guidelines.Carlos qualifies for neither an FHA mortgage and a conventional mortgage under the lending guidelines.

Home equity loan is a second mortgage loan given to the homeowners depending on the qualifying…

financial obligations totaling $978.25 per month. If the lending ratio guidelines are as given in the table below. Lending Ratio Guidelines Mortgage Type Housing Expense Ratio Total Obligations Ratio FHA 29% 41% Conventional 28% 36% What type of mortgage, if any, would Carlos qualify for? Carlos qualifies for an FHA mortgage under the lending guidelines, but not a conventiona Carlos qualifies for a conventional mortgage under the lending guidelines, but not an FHA

financial obligations totaling $978.25 per month. If the lending ratio guidelines are as given in the table below. Lending Ratio Guidelines Mortgage Type Housing Expense Ratio Total Obligations Ratio FHA 29% 41% Conventional 28% 36% What type of mortgage, if any, would Carlos qualify for? Carlos qualifies for an FHA mortgage under the lending guidelines, but not a conventiona Carlos qualifies for a conventional mortgage under the lending guidelines, but not an FHA

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

i need the answer quickly
A mortgage applicant who has a monthly gross income of $4,700.00 applies for a mortgage with monthly PITI of $1,692.00. The applicant's other financial obligations total $291.40 per month. If the lending ratio guidelines are as given in the table below, what type of mortgage, if any, would the applicant qualify for? Mortgage Type Housing Expense Ratio Total Obligations Ratio FHA 29% 41% Conventional 28% 36% FHA only O Conventional only O FHA and Conventional O None of the above
on a 15-year fixed-rate mortgage than on a 30-year fixed-rate mortgage, and is paid on a 15-year mortgage Mortgage payments are than on a 30-year mortgage; ceteris paribus (all things being equal). O A. lower; less interest O B. lower; less principle O C. higher; less interest O D. higher; more principle O E. higher; more interest
What would be the maximum recommended limit for an individual's debt payments - to - income ratio, excluding the home mortgage? Question 24Select one: a. 10% b. 20% c. 50% d. 75% e. None of the above
Tom and Jerry both took out loans for $600.00 on 2011-01-14. Both loans mature on 2011-07-11 and have the same simple interest rate i. But Tom's loan uses the daycount convention ACT/360, and Jerry's loan uses the daycount ACT/365. True or false: Jerry will pay less to settle the loan than Tom. Answer with explanation please.
Marisol took out a fully amortizing 30 year mortgage with the initial balance of $5086 and monthly payments. This mortgage has a fixed interest rate at 4%. What percentage of her first payment is attributable to interest? ( Write the answer as a percent. So if your answer is 2.5%, it should be written as 2.5, not as 0.025)
A loan applicant inquires about refinancing his primary residence. He reports receiving a competitor's quote of a 4.50% interest rate with no points. The mortgage loan originator (MLO) discovers that the best interest rate available at this time is 4.75% with no points. To get the applicant a 4.50% Interest rate, the applicant needs to pay a 1.00% discount point. Which of the following interest rates is the MLO permitted to offer to the applicant? AO A 4.00% interest rate with a 0.50% discount point A 4.25% interest rate with no points CO A 4.50% interest rate with no points A 4.50% interest rate with a 1.00% discount point
Problem 7-3 (LG 7-4) You plan to purchase an $140,000 house using a 30-year mortgage obtained from your local bank. The mortgage rate offered to you is 4 percent. You will make a down payment of 10 percent of the purchase price. a. Calculate your monthly payments on this mortgage. b. Calculate the amount of interest and, separately, principal paid in the 230th payment. c. Calculate the amount of interest and, separately, principal paid in the 260th payment. d. Calculate the amount of interest paid over the life of this mortgage. (For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places. (e.g.. 32.16)) a, b. Answer is complete but not entirely correct. Amount Monthly payment Amount of interest Amount of principal $ $ $ 601.54 388.99 212.55
The Bank of Canada 5-year rate is 5.19 percent, and you are eligible for a rate at a federally regulated lender of 5 years at 3.49 percent. a. What is the rate you must use when trying to qualify for your mortgage? (Round your answer to 2 decimal places. Omit the "%" sign in your response.) Rate % b. If the federally regulated lender offers 2.89 percent, what would be the rate used when applying the stress test now? (Round your answer to 3 decimal places. Omit the "%" sign in your response.) Rate %
What would be the maximum limit for an individual's debt-to-equity ratio, excluding the home mortgage? Multiple Choice O 100 0.50 0.33 2.00 2.25
The fixed payment for a mortgage is P 1297.20. The original balance is P 200,000. If the interest payment was P 1123.06 and the principal payment was P 174.14, what is the new balance on the loan?
On April 5, 2022, Janeen Camoct took out an 5.5% loan for $12,000. The loan is due March 9, 2023. Janeen's terms are ordinary interest. Sabrina Bowers took out the same loan as Janeen. Sabrina's terms, however, are exact interest. (Ignore leap year.) (Use Days in a year table.) a. What is Sabrina's difference in interest? Note: Do not round intermediate calculations. Round your answer to the nearest cent. Difference b. What will Sabrina pay on March 9, 2023? Note: Do not round intermediate calculations. Round your answer to the nearest cent. Amount