Qual. Loan Amount Based on Income & Debt
What size loan can a buyer qualify for if
she earns $45,000/year, has $500/month
long term debt and is putting $35,000
down? Loan parameters are a 7.5% inter-
est rate at 30 years and qualifying ratios
of 28%:36%. (No Tax and Insurance.)
Steps/Keystrokes
Display
1. Clear calculator:
[On/C] [On/C]
0.00
2. Recall Tax rate, Insurance rate and
Mortgage Insurance rate:
[Rcl] [Tax]
0.00
[Rcl] [Ins]
0.00
[Rcl] [Mtg Ins]
0.00
3. Enter term in years, annual interest and
down payment:
30 [Term]
30.00
7.5 [Int]
7.50
35,000 [Dn Pmt]
35,000.00
4. Enter annual income and monthly debts:
45,000 [Inc]
45,000.00
500 [Debt]
500.00
5. Display qualifying ratios and find quali-
fying loan amount:
[Qual 1]
28.00 – 36.00
[Qual 1]
“run”
121,564.98
6. Find price and monthly payment:
[Price]
156,564.98
[Pmt]
850.00
— D
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ALCULATOR
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User’s Guide — 49
