The person who rent's a property to a tenant
Landlord
$1,250 a month
Using the Banker's Rule, find the maximum amount that can be barrowed with the following salary: $55,000 annually.
$137,500
Find the down payment for each home: cost of home= $250,000 with a 20% down payment
$50,000
Find the total amount of interest:
Principal: $406,00
Interest Rate: 4%
Time: 30 years
Interest: $487,200
Down Payment
According to the Renter's Rule, what is the maximum monthly rent a person can afford working a full work week making $15.00?
$600 a month
Using the Banker's Rule, find the maximum amount that can be barrowed with the following salary: $2,500 a month.
$75,000
Find the amount of the down payment for each home: Cost of home= 100,400 with a 25% down payment
$25,100
Find the total amount of interest:
Principal: $200,300
Interest Rate: 4.5%
Time: 15 years
Interest: $135,202.50
Original amount barrowed from the bank
Principal
According to the Renter's Rule, what is the maximum monthly rent a person can afford working a full work week with an hourly rate of $23.50 an hour?
$940.00 a month
Using the Banker's Rule, find the maximum amount that can be barrowed with the following salary: $2,500 a week
$325,000
Find the down payment and principal for each home: cost of home= $250,000 with a 20% down payment.
Down Payment: $50,000
Principal: $200,000
Find the total amount of interest and mortage:
Principal: $406,00
Interest Rate: 4%
Time: 30 years
Interest: $135,202.50
Mortgage: $337,502.50
A fee the bank chargers to lend money
Interest
According to the Renter's Rule, what is the maximum monthly rent a person can afford with an bi-weekly salary of $2,200?
$1,100 a month
Using the Banker's Rule, find the maximum amount that can be barrowed with the following salary: $3,400 bi-weekly.
$221,000
Find the down payment and cost for each home: cost of home= $325,000 with a 25% down payment
down payment: $81,250
Principal: $243,750
Find the total amount of interest and mortgage:
Principal: $125,000
Interest Rate: 3.25%
Time: 20 years
Interest: $81,250
Mortgage: $206,250
Lease
Your friend wants to rent an apartment for $1300. He makes $27.00 per hour. Can your friend afford to rent this apartment?
No, the maximum rent per month he can afford is $1,080.
Using the Banker's Rule, find the maximum amount that can be barrowed with the following salary: $1,500 bi-monthly
$90,000
Find the down payment and principal for each home: cost of home= $545,000 with a 30% down payment
down payment: $163,500
principal: $381,500
Find the total amount of interest and mortgage:
Principal: $165,000
Interest Rate: 5%
Time: 15 years
Interest: $123,750
Mortgage: $288,750