What is known:
The purchase price of the house is $75,000
Joe has $10,000 in savings
Joe makes $15 per hour and works 40 hours per week
30-year mortgage interest rate of 6.25% and a monthly payment of $439.00
15-year mortgage interest rate of 5.25% and a monthly payment of $575.00
Down payment: 5% minimum
Taxes last year were $375
Insurance is $250 per year
1. Can Joe afford the monthly payments with taxes and insurance for either a 30 or 15 year mortgage?
2. If Joe buys the house, will he have enough money left over on a monthly basis to live comfortably?
3. Does Joe have enough in savings to pay for the down payment and all of the closing costs?
1. Joe figures that with overtime he will average 40 hours a week for 52 weeks a year. If his current wage is $15.00 per hour, how much will he make per year?
2. How much would Joe's wages be in an average month?
3. Joe has a car payment of $249 per month. The average utilities are: electricity $79; Gas $49; Water, Sewer, and Trash $27. In addition, Joe is saving $100 per month. How much of his monthly salary would be committed to utilities and other expenses?
4. If Joe's net income after taxes each month is equal to 74% of his gross wages, how much is his net income?
5. Joe's total monthly payment to the bank will consist of the mortgage interest plus principal amount plus monthly payments for insurance and taxes. What will the total monthly payments be for a 15-year and a 30-year loan including taxes and insurance?
6. After paying for his car, utilities, and a 15-year mortgage payment how much will he have left to cover other living expenses? If he goes with a 30-year mortgage, how much will he have left over to cover living expenses?
7. Make a list of your living expenses and try to estimate monthly expenses. Does Joe have enough left over to live comfortably if he buys the house? Should he go with the 15 or the 30-year mortgage?
8. Complete the Good Faith Estimate to see if Joe has enough money in savings for the down payment and closing costs:
Description of Fee
Amount of Fee
5% of purchase price
Loan Origination Fee
- No fee at this bank
- No points on this loan
Insurance: First Year Premium
- $45 (One month)
Escrow Account Insurance reserve
- Insurance for two months ($250/12) * 2
Escrow Account Tax reserve
- Property Taxes for two months ($375/12) * 2
- Buyer's choice. None here.
Document Preparation and Recording Fees
Title Co. Fee
- Depends on closing date: Estimate $150.00
What are your conclusion? Summarize your findings.© BrainMass Inc. brainmass.com October 25, 2018, 8:07 am ad1c9bdddf
1. ($15.00/hr*40 hr/wk*52 wk/yr) = $31,200 per year
2. ($31200/yr / 12mo) = $2,600 per month
3. ($249 + $79 + $49 + $27 + $100) = $504 per month
4. ($2600 * 74%) = $1,924
5. ($575/mo + ($250/yr ...
The expert determines if Joe can afford his future homes for Mortgage calculations.
Quantitative Research on Job Markets
See the attached file.
As a researcher, the mastery of creating well-written and measurable hypotheses, problem statements, and research questions is critical. A grant or project proposal is often won or lost based on the strength of a researcher's skill in this area. This Discussion Board will give you an opportunity to improve your technique while peer reviewing your classmates' proposals. Using the topic from your Unit 1 DB post, select 1 data-collection idea, and write the following:
A quantitative hypothesis and a null hypothesis
Explain why you feel this is an important topic to investigate and why a quantitative method would be appropriate.
A qualitative research question with 3 guiding questions
Explain why you feel this is an important topic to investigate and why a qualitative method would be appropriate.
A summary of ethical responsibilities that align with the selected topic and method
Include three peer review sources.View Full Posting Details