Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What is the minimum income for a borrower looking to purchase a $400,000 home with a $320,000 mortgage based on a back-end ratio maximum of

What is the minimum income for a borrower looking to purchase a $400,000 home with a $320,000 mortgage based on a back-end ratio maximum of 36%? The mortgage has a rate of 6% and a term of 30 years. The borrower has $1,000/month in school loans and makes a car payment of $850/month. The property taxes on the property are $4,000/year, the hazard insurance premium is $800/year, and there are no association dues.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Economics Of Money Banking And Finance

Authors: Peter Howells, Keith Bain

4th Edition

0273710397, 978-0273710394

More Books

Students also viewed these Finance questions

Question

Does it have at least one-inch margins?

Answered: 1 week ago

Question

Does it highlight your accomplishments rather than your duties?

Answered: 1 week ago