Income Required and Allowable Monthly Debt
— Sales Price & Down Payment
Using 32:40 ratios, what income must a
buyer earn to purchase a $245,000 home
if they put down 20%? (Use 8% interest
for 25 years.)
Steps/Keystrokes
Display
1. Clear calculator:
[On/C] [On/C]
0.00
2. Enter annual interest:
8 [Int]
CdA 8.00
3. Enter term in years then enter sales
price:
25 [Term]
25.00
245,000 [Price]
245,000.00
4. Enter down payment percent and find
loan amount:
20 [Dn Pmt]
20.00
[L/A]
196,000.00
5. Display qualifying ratios, find income
required and maximum allowable
monthly debts:
[Qual 1]
32 : 40
[Qual 1] “run”
56,096.19
[Qual 1] “run”
373.97
User’s Guide — 49
