Marsha is a recent graduate of the University of Spoiled Children where she received her BA degree. She is recently employed by the State of California as a social worker earning $30,000 per year. Her debts consist of a student loan that will be paid over the next 10 years at $600 per month. She has no other debts. John her fiancée, received his accounting degree from the White Powder University of Miami, FL., and is an accountant earning $40,000 per year. He has been on the job for 3 ½ years with “Stickler, Stickler & Run” accounting firm. John has $12,000 in credit card bills that he pays at $300 per month. They have a total savings of $9,250. Marsha & John wish to purchase a home for $210,000 @ 7.25%, 30/30. You are to answer the following questions. 1. What type of loan would they qualify for and for what loan amount? 2. What would be the PITI? 3. What are theirdebtratios? 4. Is John paying enough on his credit cards per month? (Be sure to look it up under FNMA guidelines. Efanniemae.com) 5. Would they qualify for a loan?
