Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

i have the answer , just need a detailed explanation how they got it. If a person earns $3,000 per month and 25% can be

image text in transcribedi have the answer , just need a detailed explanation how they got it.

If a person earns $3,000 per month and 25% can be used for PITI; What is the maximum price house that person can afford if the following facts are true? a. Interest rate = 11.25% b. Loan term = 25 years c. Annual taxes = $1,200/O0/+Q & Annual insurance = $600) e. The loan is fully amortized f. The person has $20,000 in their savings account and closing costs will be $4,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Real Estate Finance

Authors: Wolfgang Breuer, Claudia Nadler

2012th Edition

3834934496, 978-3834934499

More Books

Students also viewed these Finance questions

Question

What is topology? Explain with examples

Answered: 1 week ago