The mortgage payments for a house you are considering purchasing are $2,500 a month and the taxes and insurance on the home are $8,000 per year. You earn $80,000 per year before taxes and had no other debt. Can you qualify for the bank loan and afford the home? The bank loan allowable % of income is 28%

Answer rating: 100% (QA)

Based on the 28 rule used by many lenders your maximum monthly housing expense should be 2286 80000 ... View the full answer