- Their financial records report a combined gross before-tax annual income of $85,000 and current (pre-mortgage) installment loan, credit card, and car loan debt of $1,240 per month. - Their property taxes and homeowner's insurance policy are expected to cost $2,150 per year. - Their best estimate of the interest rate on their mortoage is 7.5%, and they are interested in obtaining a 15 -year loan. - They have accumulated savings of $50,500 that can be used to satisfy the home's down payment and closing costs. - The lender requires a minimum 20% down payment, and installment loan affordability ratios that range from a minimum of 33% to a maximum of 38%. ven these results, which statement regarding tudia and Kenjis mortgage qualification process and the purchase of their $215,000 target home is Lucia and Kenji do not qualify to purchase their $215,000 target home according to the Installment Debt Affordability Worksheet criterion. Luda and Kenji qualify to purchase their $215,000 target home according to the Installment Debt Affordability Worksheet criterion