Your aunt Annie has sought your help in the purchase of her first home. She has saved $45,000 for the down payment through disciplined fiscal management on her annual salary of $48,000. First Union Bank of Ft Myers is willing to permit her monthly mortgage payment to be equal to 28% of monthly income. The annual percentage rate on the 30-year fixed rate loan is 6.5%. Aunt Annie's monthly payments cannot exceed 1120.00 for the The bank will be willing to lend her [Select] [Select] 0.00 purchase of the house. 200000.00 Assuming no closing costs [which is a special deal from the builder], aunt 251233.11 190000.22 [Select] for the house. 177196.12

Answer rating: 100% (QA)

To determine the maximum amount Aunt Annie can borrow for the house purchasewe need to follow these ... View the full answer