Nate and Kate are looking to buy their first home but prices during this period are still high. They are looking to purchase a condo that is on the market for $420,000. 

1. Nate and Kate are going to the Royal Bank of Canada (RBC) for their potential mortgage. Calculate the Gross Debt Service (GDS) ratio: 
2. 
   
3. Nate's gross annual salary is $95,750, while Kate's is $98,650. 
4. The property they are looking to purchase would result in monthly heating costs of $520, condo fees of $2,380 per year, while their annual property taxes would be $2,060. 
5. Nate's only debt is a car loan of $275 per month, while Kate has a student loan of $95 per month. 
6. 
   
7. Calculate the GDS ratio using a monthly mortgage payment of $3,600.