Question
Jim has an annual income of $240,000. Jim is looking to buy a house with monthly property taxes of $300 and monthly homeowners insurance of
Jim has an annual income of $240,000. Jim is looking to buy a house with monthly property taxes of $300 and monthly homeowners insurance of $200. Jim has $1,500 in monthly student loan payments and an average monthly credit card bill of $1,000. Apple bank has a maximum front end DTI limit of 25% and a maximum back end DTI limit of 35%. Jim will make the biggest mortgage payment he can that satisfies both the front end DTI limit and the back end DTI limit. Jim will get a fully amortizing 30 year FRM at an annual rate of 3.40%, with monthly payments, compounded monthly. What is the biggest mortgage loan Jim can get?
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