Calculate the maximum purchase capacity of your clients (Young couple, first time home buyers) Available fund in their saving account: $12000 (But they want to use this for future renovations and purchase of furniture)

RRSP (Husband): $3500

RRSP (wife):$100000

Car loan: monthly payment: $432

Visa card 1: Balance: $9000

Visa card 2: Balance: $2100

Student loan: payment $150 per month

Salary (husband): $65000

Salary (wife): $55000

Property taxes: $5600

Heating cost: $1800

Available down payment: $42,500

Interest rate: 5.25%, Amortization: 25 years

GDS=35% and TDS=42%

DO NOT TAKE INTO CONSIDERATION THE CMHC INSURANCE