What are the most significant monthly expenses
related to owning a home?
2. Property Taxes
3. Heating costs
Gross Debt Service Ratio
A general rule regarding how much of your
household income should go towards
Generally, house expenses should not
exceed 32% of your gross income.
monthly mortgage payment + monthly property taxes + heating x 100
Gross monthly income
Jeric and Dearly have a gross monthly income of
$5680. Calculate their total affordable household
If Jeric and Dearly will pay $173.00 in
property tax, and $217.00 in heating costs
what is their maximum allowable mortgage
If the best mortgage rate Jeric and Dearly
can get is 6.5%, for 25 years what is the
largest mortgage they can afford?
Use the chart in your resource book.
If Jeric and Dearly have a downpayment of
$30 000 to purchase their home what is
the maximum price they can afford?
Last assignment for this unit,
Assignment 6, ques. 1 5 Test will be Tuesday October 20th!
Aren't you happy you're not taking PreCal