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Jackie is in the 28% marginal tax bracket and has no other itemized deductions except those related to her home. If her standard deduction is $4,750 and she incurs the following costs related to housing, how much tax savings will she receive as a result of her home purchase?Mortgage interest $14,000Principal repayment $800Homeowner's insurance $1,000Real estate taxes $4,000Homeowner's association fees $1,200(Points : 4)$13,250$5,040$3,710$2,800NoneYou can deduct both mortgage interest and property taxes when calculating your federal and state income taxes. Principal repayment, homeowner’s insurance and association fees are not deductible.Mortgage Interest $ 14,000 Real Estate Taxes 4,000 Total Deductible Expenses $ 18,000 Less: Standard Deduction 4,750 Deductible due to Home Purchase $ 13,250 Tax Rate28%Tax Savings from Home Purchase $ 3,710 Jacque and Sam want to purchase a new home but don't know how much mortgage they can qualify for. The lender requires total installment loan payments that do not exceed 32% of gross monthly income. Based on Jacque and Sam's financial data below, what is the maximum monthly mortgage payment for which they can qualify?Monthly gross income $5,000Car payment $400Student loan payment $300Current rent payment $1,000(Points : 4)$1,700$1,600$900$600$500Monthly gross income $5,000$ 5,000 Affordability Ratio32%Maximum monthly mortgage payment$ 1,600 Less: Car payment 400 Less: Student loan payment 300 Qualified monthly mortgage payment$ 900 ................
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