You have recently graduated and intend to settle down. Your current salary is $60,000 per annum and you wish to get a house. You have managed to save $40,000 for the downpayment and closing costs, which is 2% of the mortgage loan. Current regulations only allow the maximum monthly mortgage payment to be 40% of your monthly pay. The best mortgage rate you can find was 2.4% with monthly compounding, and with a loan tenure of 35 years. What is the maximum price that you can afford on a house? $567,927.17 $556,568.63 $596,568.63 $121,662.81 $86,058.77

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Loans

A loan is a term that we are all familiar with. The processing of loans is one of the most important functions of a bank. It keeps our economy stable and facilitates the implementation of monetary policies. Let's take a look at the different forms of loans and get some answers to some common questions.