Finding Qualifying Mortgage Amount And Sales Price (Simple Example Excluding Property Tax) - Calculated Industries 3423 User Manual

Finding Qualifying Mortgage Amount and Sales Price
(Simple Example Excluding Property Tax)
Given an interest rate of 7.5%, a term of 25 years, and the stored
32%:40% qualifying ratios, what size mortgage and what sales price
can a buyer pre-qualify for, if he or she makes $45,000 annually and
has $350 in long-term, monthly debt? The buyer plans to put
$10,000 down. Also, what is the monthly (P&I) payment? (Based on
no Tax.)
STEPS
Clear calculator
Enter Term in years
Enter annual Interest rate
Clear Tax rate*
Enter annual Income
Enter monthly Debt
Enter Down Payment
Display Qualifying Ratios
Find pre-qualifying
Mortgage Amount
Find Price
Find monthly P&I Payment p
*Note: If you previously entered Property Tax, you must set this key to zero, as your
calculator automatically stores the % rates semi-permanently (unless you set them to
clear upon o o via the Preference Settings – see page 12).
Re-qualify this buyer assuming lower debt ($200/mo). (Notice they
now qualify for a larger mortgage and sales price.)
STEPS
Enter new monthly Debt
Display Qualifying Ratios
Find new pre-qualifying
Mortgage Amount
Find new Price
Find monthly P&I Payment p
KEYSTROKES
o o
2 5 T
7 • 5 ˆ
0 t
4 5 ) i
3 5 0 D
1 0 ) d
q
q
P
— DO NOT CLEAR CALCULATOR —
KEYSTROKES
2 0 0 D
q
q
P
DISPLAY
25.00
45,000.00
350.00
10,000.00
32.00-40.00
"run" 157,199.41
167,199.41
1,150.00
DISPLAY
200.00
32.00-40.00
"run" 164,034.17
174,034.17
1,200.00
U ' G — 43
SER S UIDE
0.00
7.50
0.00