Married couple earning a combined gross income of $130,000 and an after tax income of $107,000 are looking into purchasing a house. They would like to put 5% down. They have shopped around for a loan and believe the best terms that they could get are a fi

 

Married couple earning a combined gross income of $130,000 and an after tax income of $107,000 are looking into purchasing a house. They would like to put 5% down. They have shopped around for a loan and believe the best terms that they could get are a fixed rate of interest equal to 5% for 30 years. Private Mortgage Insurance is equal to 1.4% for the first year and .22% thereafter. They will have to pay 2 points, $500 in fees, and title insurance equal to $3.10 per thousand.

The maximum loan is equal to ______

The maximum purchase price is equal to ______

The savings needed are equal to______

Using the same data as for questions #1-#3, except change the rate of interest to 8%

The maximum loan is equal to ______

The maximum purchase price is equal to _______

The savings needed are equal to______

Using the same data used for questions #1-#3 except change the down payment to 20% and drop the PMI

The maximum loan is equal to______

The maximum purchase price is equal to______

The savings needed are equal to_____