Real Estate Math
A buyer's gross monthly income is $7,500. Lender's maximum housing-expense ratio is 28%. What is the maximum monthly PITI payment?
A$2,100✓ Correct
B$1,875
C$2,800
D$2,500
Explanation
Maximum PITI = Gross Monthly Income × Housing Expense Ratio = $7,500 × 0.28 = $2,100.
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