6. Leigh is getting tired of living in the house and sharing a kitchen with everyone. She decides it is time to start looking for a house to purchase. She likes the town and the neighborhood, so she doesn’t want to move far. In walking around the neighborhood, Leigh notices “for sale by owner” and real estate signs in several of the yards. Before talking to a banker and a realtor, she wants to know how much she can afford.

What steps would you suggest Leigh take in determining how much she can borrow?