Finance
A Montana buyer's mortgage payment is $1,450/month, and their gross monthly income is $5,800. What is their housing debt-to-income ratio?
A20%
B25%✓ Correct
C28%
D30%
Explanation
DTI = Monthly Housing Payment ÷ Gross Monthly Income = $1,450 ÷ $5,800 = 0.25 = 25%. Using the values given ($1,450, $5,800), apply the appropriate formula.. The correct answer is 25%.. This is a common calculation on the Montana real estate exam.
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