Amelia wants to buy a home and is applying for a conventional mortgage loan. Her gross...

  

Transcribed Image Text:

Amelia wants to buy a home and is applying for a conventional mortgage loan. Her gross monthly income is $6,200. She has 32 payments of $525 per month remaining on her car loan, and 19 payments of $215 per month remaining on her student loan. Her bank has upper limits of 36% for GDS and 43% for TDS. Allowing for property taxes of $400 per month and heating costs of $300 per month, what maximum monthly mortgage payment do the GDS and TDS limits permit? The Clarke family is buying a home and will select a mortgage with a 25-year amortization period, at a rate of 6% compounded semiannually for a 5-year term. The monthly mortgage payment will be their only debt payment. The family's gross monthly income is $8,400. Property taxes are estimated at $500 per month, and heating costs at $375 per month. The bank has upper limits of 39% for GDS and 44% for TDS. What is the maximum mortgage for which the Clarkes qualify? (Round your final answer to the nearest dollar.) Gilbert borrowed $646,000 at 5% compounded semiannually to finance the purchase of a building for his construction business. The loan requires month-end payments during the 25-year amortization period. How much is still owing on the loan after 5 years of payments? (Round your "PMT" calculation to 2 decimal places and do not round your other intermediate calculations. Round your final answer to 2 decimal places.) Amelia wants to buy a home and is applying for a conventional mortgage loan. Her gross monthly income is $6,200. She has 32 payments of $525 per month remaining on her car loan, and 19 payments of $215 per month remaining on her student loan. Her bank has upper limits of 36% for GDS and 43% for TDS. Allowing for property taxes of $400 per month and heating costs of $300 per month, what maximum monthly mortgage payment do the GDS and TDS limits permit? The Clarke family is buying a home and will select a mortgage with a 25-year amortization period, at a rate of 6% compounded semiannually for a 5-year term. The monthly mortgage payment will be their only debt payment. The family's gross monthly income is $8,400. Property taxes are estimated at $500 per month, and heating costs at $375 per month. The bank has upper limits of 39% for GDS and 44% for TDS. What is the maximum mortgage for which the Clarkes qualify? (Round your final answer to the nearest dollar.) Gilbert borrowed $646,000 at 5% compounded semiannually to finance the purchase of a building for his construction business. The loan requires month-end payments during the 25-year amortization period. How much is still owing on the loan after 5 years of payments? (Round your "PMT" calculation to 2 decimal places and do not round your other intermediate calculations. Round your final answer to 2 decimal places.)

Answer rating: 100% (QA)

To calculate Amelias maximum monthly mortgage payment permitted under the GDS and TDS limits we need to first calculate her monthly debt payments which include her car loan student loan property taxes ... View the full answer