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Suppose you take out a 20-year mortgage for a house that costs $388,238. Assume the following: The annual interest rate on the mortgage is 4%.

Suppose you take out a 20-year mortgage for a house that costs $388,238. Assume the following:

  • The annual interest rate on the mortgage is 4%.
  • The bank requires a minimum down payment of 19% at the time of the loan.
  • The annual property tax is 1.8% of the cost of the house.
  • The annual homeowner's insurance is 1.1% of the cost of the house.
  • The monthly PMI is $91
  • Your other long-term debts require payments of $610 per month.

If you make the minimum down payment, what is the minimum gross monthly salary you must earn in order to satisfy the 28% rule and the 36% rule simultaneously?

Round your answer to the nearest dollar.

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