Real Estate - Finance 1 - math problems Exam Questions with correct Answers

INTEREST - ANSWER-1=PRT (PRINCIPAL X RATE X TIME= INTEREST) Sales price $175,000, LTV is 85%, Interest rate is 4.75%, 30 year term. Closing date is Aug 20. How much interest is paid the first full month? - ANSWER-$588.80 Loan Amt $167,300, Factor is $5.07. Annual tax is $2,750, Annual Insurance is $1550. Calculate Monthly Payment. - ANSWER-$1,206.54 245,000 House price, 25% down, 4% interest on 15 yr loan, 7.40 loan factor, $8,500 annual tax, $2,600 annual insurance. Calculate monthly payment. - ANSWER-PITI = $2,284.74 Couple makes $87,500. Wanting a 95% conventional loan. 5.37 factor, $6,300 taxes, $1,800 insurance, $1,225 mo. debt. Do they qualify for a home that costs $210,000? How much will they pay in monthly taxes? How much is their monthly insurance? - ANSWER-No. PITI + Debt = $2,971. Front Ratio is $2,041.67 and Back end is $2,625. Taxes $525 and insurance $150. PITI is $1746. How much income do they need to qualify? $1,507 (P&I). - ANSWER-$1,507/28% = $5,382.14 The buyers for a home have a combined gross income of $96,000 per year. What is the maximum house payment they can qualify for and what is the amount of allowable debts? - ANSWER-$2,240 PITI AND $640 per month in Allowable Debts