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make up the numbers Method 2 Determine Your Maximum Monthly Mortgage Payment Using the Ability to Pay, PITI Plus oth Fixed Monthly Payments, Ratio. e.

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Method 2 Determine Your Maximum Monthly Mortgage Payment Using the Ability to Pay, PITI Plus oth Fixed Monthly Payments, Ratio. e. Monthly income (annual income divided by 12) Method 2 Determine Your Maximum Monthly Mortgage Payment Using the Ability to Pay, PITI Plus oth Fixed Monthly Payments, Ratio. e. Monthly income (annual income divided by 12) f. Times 0.36: Percentage of PITI + current monthly fixed payments to your monthly gross income that lenders will lend in the form of a mortgage loan (multiply line a by 0.36 ) g. Less: Current nonmortgage debt payments on debt that will take over x0.36= 10 months to pay off and other monhtly legal obligations such as child support and allimony payments h. Less: Estimated monthly real estate tax and insurance payments 1. Equals: Your maximum monthly mortgage payment using the 36% of PITI + other fixed Monthly payments ratio (line fgh ) To Determine the Maximum Mortgage Loan Level Using the Maximum Monthly Mortgage Payments as Determined Using the PITI Ratio (line d): Step 1:Determine Monthly Rate rate given APR Step 2 Deterimen nper Step 23 Based on interest Rate and PMT, number of periods determine PMT Method 3 Determine Your Maximum Mortgage Level Using the " 80% of the Appraised Value of the House" Rule. 1. Funds availble for the down payment and closing costs K. Less: Closing costs 1. Equals: Funds available for the down payment m. Times 4. Maximum mortaace level usina the " 80% of the aboraised value of the Mortgage Qualifier Method 3 Determine Your Maximum Mortgage Level Using the " 80% of the Appraised Value of the House" Rule. 1. Funds availble for the down payment and closing costs k. Less: Closing costs 1. Equals: Funds available for the down payment m. Times 4: Maximum mortgage level using the " 80% of the appraised value of the house" rule (the 20% down, line 1 , times 4 equals the 80% you can borrol 4= \begin{tabular}{|r|} \hline \\ = \\ \hline \end{tabular} Conclusion: Maximum Mortgage Level for Which You Will Qualify (the lowest of the amounts using method 1, method 2, or method 3) = Method 2 Determine Your Maximum Monthly Mortgage Payment Using the Ability to Pay, PITI Plus oth Fixed Monthly Payments, Ratio. e. Monthly income (annual income divided by 12) Method 2 Determine Your Maximum Monthly Mortgage Payment Using the Ability to Pay, PITI Plus oth Fixed Monthly Payments, Ratio. e. Monthly income (annual income divided by 12) f. Times 0.36: Percentage of PITI + current monthly fixed payments to your monthly gross income that lenders will lend in the form of a mortgage loan (multiply line a by 0.36 ) g. Less: Current nonmortgage debt payments on debt that will take over x0.36= 10 months to pay off and other monhtly legal obligations such as child support and allimony payments h. Less: Estimated monthly real estate tax and insurance payments 1. Equals: Your maximum monthly mortgage payment using the 36% of PITI + other fixed Monthly payments ratio (line fgh ) To Determine the Maximum Mortgage Loan Level Using the Maximum Monthly Mortgage Payments as Determined Using the PITI Ratio (line d): Step 1:Determine Monthly Rate rate given APR Step 2 Deterimen nper Step 23 Based on interest Rate and PMT, number of periods determine PMT Method 3 Determine Your Maximum Mortgage Level Using the " 80% of the Appraised Value of the House" Rule. 1. Funds availble for the down payment and closing costs K. Less: Closing costs 1. Equals: Funds available for the down payment m. Times 4. Maximum mortaace level usina the " 80% of the aboraised value of the Mortgage Qualifier Method 3 Determine Your Maximum Mortgage Level Using the " 80% of the Appraised Value of the House" Rule. 1. Funds availble for the down payment and closing costs k. Less: Closing costs 1. Equals: Funds available for the down payment m. Times 4: Maximum mortgage level using the " 80% of the appraised value of the house" rule (the 20% down, line 1 , times 4 equals the 80% you can borrol 4= \begin{tabular}{|r|} \hline \\ = \\ \hline \end{tabular} Conclusion: Maximum Mortgage Level for Which You Will Qualify (the lowest of the amounts using method 1, method 2, or method 3) =

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