Dante has applied for a mortgage loan at a bank that requires a maximum debt payment...
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Dante has applied for a mortgage loan at a bank that requires a maximum debt payment ratio of 42% and a maximum mortgage debt service ratio of 38%. Dante's monthly gross income is $4,000. He has a student loan payment of $200 per month and credit card payments of $100 per month. If his mortgage is approved, the total payment (including principal, interest, property taxes, and insurance) will be $1500 per month. Will he qualify for this loan based on his ratios? Dante has applied for a mortgage loan at a bank that requires a maximum debt payment ratio of 42% and a maximum mortgage debt service ratio of 38%. Dante's monthly gross income is $4,000. He has a student loan payment of $200 per month and credit card payments of $100 per month. If his mortgage is approved, the total payment (including principal, interest, property taxes, and insurance) will be $1500 per month. Will he qualify for this loan based on his ratios?
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To determine if Dante will qualify for the mortgage loan based on his debt payment ra... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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