The Delgados have a gross monthly income of $6,000. Monthly payments on personal loans total $500. Their bank limits the gross debt service ratio at 33% and the total debt service ratio at 42% a. Rounded to the nearest $100, what is the maximum 25-year mortgage loan for which they can qualify on the basis of their income? Assume monthly heating costs of $200 and property taxes of $220 per month. Current mortgage rates are 6.8% compounded semiannually. (Do not round the intermediate calculations.) Maximum b. Rounded to the nearest $100, what minimum down payment must they have to qualify for the maximum conventional mortgage (80% loan-to-value ratio) on a new home? (Do not round the intermediate calculations.) Minimum $

The Delgados have a gross monthly income of $6,000. Monthly payments on personal loans total $500. Their bank limits the gross debt service ratio at 33% and the total debt service ratio at 42% a. Rounded to the nearest $100, what is the maximum 25-year mortgage loan for which they can qualify on the basis of their income? Assume monthly heating costs of $200 and property taxes of $220 per month. Current mortgage rates are 6.8% compounded semiannually. (Do not round the intermediate calculations.) Maximum b. Rounded to the nearest $100, what minimum down payment must they have to qualify for the maximum conventional mortgage (80% loan-to-value ratio) on a new home? (Do not round the intermediate calculations.) Minimum $

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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. at"9y וכד ןuש ( . uicu David has been informed by his banker that he is able to pay a maximum monthly mortgage payment of $876 a month when his Gross Debt Service Ratio (GDSR) is 32%. The combined monthly property taxes and heating costs for the house he wants to buy are $385. Calculate David's gross monthly income. 1. Jason's gross monthly income is $3800 a month and he pays monthly expenses of $670 for his mortgage payment, $105 for heating, and $187 in property taxes. 2. a) Determine Jason's Gross Debt Service Ratio (GDSR) if he decides to make monthly mortgage payments of $900 instead of $670. these ayments?
please show all work and state answer clearly
12.1 pg. 219-220 Find the monthly payment for each loan below. Remember to assume monthly compounding. 12. Frankie purchased a house for $185,000. He put 20% of the purchase down as a down payment. He financed the house for 4.25% for 15 years. The annual taxes are $1250, and the insurance is $1056. What is his monthly principal, interest, tax, and insurance (PITI) mortgage payment?
The total monthly payment for a home mortgage loan isaffected by the property tax and insurance. This amount isaround 15% of the principal plus interest payment that youcalculated in the previous problem. Moreover, as a rule ofthumb, a family should not devote more than 28% of itsgross income for home loan payments. With this information,find the amount that a family must earn to afford a$200,000 mortgage loan using the APRs of the previousproblem.
Carol borrows $30, 000 from the bank. For a six-year loan, the bank requires annual end-of-year payments of $5, 878.05. The annual interest rate on the loan is?
Using the maximum ratios for a conventional mortgage, how big a monthly payment could the Sanchez family afford if their gross (before-tax) monthly income amounted to $5,000? (Hint: Monthly mortgage payments cannot exceed 25 to 30 percent of the borrower's monthly gross income and the borrower's total monthly installment loan payments (including the mortgage payment) cannot exceed 33 percent to 38 percent of monthly gross income.) $ Would it make any difference if they were already making monthly installment loan payments totaling $600 on two car loans? Maximum mortgage payment they could make would be $ .
The Adeeva's gross monthly income is $6300. They have 18 remaining payments of $290 on a new car. They are Kapplying for a 30-year, $204,000 mortgage at 7.0%. The taxes and insurance on the house are $460 per month. The bank will only approve a loan that has a total monthly mortgage payment of principal, interest, property taxes, and homeowners' insurance that is less than or equal to 28% of their adjusted monthly income. Complete parts (a) through (c) below. Click the icon to view the table of monthly payments. a) Determine 28% of the Adeeva's adjusted monthly income. $ (Round to the nearest cent.) b) Determine the Adeeva's total monthly mortgage payment, including principal, interest, taxes, and homeowners insurance. (Round to the nearest cent.) c) Do they quality for this mortgage? 00 CAFF Yes No ime imit
Jason Stein from Topeka, Kansas, borrows $1,500 (including interest) for four years (48 months) at an interest rate of 7% per year. The loan uses the discount method for determining the amount of interest. How much of the loan amount ($1,500) consists of interest? How much of the loan is actually given directly to Jason? What is the monthly payment (rounded to the nearest penny), assuming 48 monthly payments?
Solve B.
Carlos earns a gross income of $5,580 per month and applies for a mortgage with a monthly PITI of $1,339.20. Carlos has other financial obligations totaling $764.46 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? 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. O Carlos qualifies for both an FHA mortgage and a conventional mortgage under the lending guidelines. O Carlos qualifies for neither an FHA mortgage and a conventional mortgage under the lending guidelines.

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