Real Estate Math

A West Virginia homebuyer is told their debt-to-income ratio cannot exceed 43%. Their gross monthly income is $5,000. What is the maximum total monthly debt payment allowed?

A$1,500
B$2,150✓ Correct
C$2,500
D$1,800

Explanation

Maximum monthly debt = $5,000 x 0.43 = $2,150.

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