(C) If you are looking to purchase a home in the near future: Look up home prices in the area you want to buy. Do your best to estimate your GDS and TDS. How much home can you afford? Look up current interest rates (see next problem) and calculate what your monthly payment would be for the average priced-house in the area you are looking. Mortgage terms are up to you to decide. Based on this information, what can you ascertain about your ability to afford a home?

picked up. What is your monthly payment now? Numeric Response