A potential first-time homeowner has come to you asking you to underwrite them for a $200,000 fixed-rate mortgage loan to purchase a $275,000 house with an estimated $200 per month in hazard insurance and $275 per month in property taxes. Calculate the LTV Total-Debt Ratio used to underwrite the loan for the borrower if they earn $72,000 per year and pay $400 per month on their existing student loans if the current rate for a 30-year FRM Loan is 4.8%. What is maximum size of loan they could qualify if their total-debt ratio must be less than or equal to 45%? LTV Total-Debt Ratio Maximum Loan