Calculated Industries 3430-KIT - Manual (Page 67)

66 — Q
UALIFIER
P
LUS
® III
FX
Solving for Actual Qualifying Ratios
A buyer who makes $120,000 annually and has $550 in long-term
monthly debt wants to borrow $275,000 to purchase a home. He has
$68,750 for the down payment and the property tax/insurance rates
are estimated at 1.4% and 0.2%, respectively; monthly homeowner’s
association dues are $65. Use 6.5% interest for 30 years. What are
his actual ratios? What is the price of the home he can afford? What
is the monthly payment?
STEPS KEYSTROKES DISPLAY
Clear calculator o o 0.00
Enter annual Interest rate 6 • 5 ˆ 6.50
Enter Term in years 3 0 T 30.00
Enter Loan Amount 2 7 5 ) l 275,000.00
Enter Down Payment 6 8 7 5 0 d 68,750.00
Enter annual Income 1 2 0 ) i 120,000.00
Enter monthly Debt 5 5 0 D 550.00
Enter property tax rate 1 • 4 s 7 1.40
Enter property insurance rate • 2 s 8 0.20
Clear mortgage insurance
rate* 0 s 9 0.00
Enter monthly association
dues 6 5 e 65.00
Display stored Qual Ratios q 28.00-36.00
Calculate actual Ratios q “run” 22.62-28.12
Find sales Price P 343,750.00
Find the monthly P&I
Payment p 1,738.19
Find the monthly PITI
Payment p 2,196.52
Find the total monthly
Payment p 2,261.52
*Should be set to zero in this case, as the down payment is 20%; to check down pay-
ment %, press
d again and it will read 20.00%.