A borrower can devote up to 528 dollars each month to repay monthly payments as part of a real estate project.
Salary is the central element in calculating the borrowing capacity of a mortgage loan applicant. It is the monthly net salary which will make it possible to define the amount of the maximum monthly payment that it will be possible to reimburse while respecting a debt ratio of 33%.
Borrow with 1600 dollars net of salary
In France, it is not possible to go into debt beyond this limit, at the risk of finding yourself unable to repay the debts contracted. With a net salary of $ 1600 received each month, the borrower can spend up to $ 528 on monthly payments. It can just as easily be a single monthly mortgage loan as several monthly payments associated with different loans.
When a borrower will apply for a home loan, he will have to inform the amount of his salary but also much other information allowing the financial institution to qualify the financing request.
If the salary is significant, it must be associated with a permanent contract or an equivalent contract such as the position of a permanent official. It is also important to provide information on the amount of household expenses (via the statements of accounts), which will allow us to assess the situation as a whole, but also to define the amount of the rest to live on.
Table of gross sums with 1600 dollars of wages
Here are the gross amounts, without taking into account the fees and interest rates, that a borrower can obtain with a maximum debt of 33% and without outstanding loans:
- 5 years (60 months): $ 31,680
- 10 years (120 months): $ 63,360
- 12 years (144 months): $ 76,032
- 15 years (180 months): $ 95,040
- 20 years (240 months): $ 126,720
- 25 years (300 months): $ 158,400
- 30 years (360 months): $ 190,080
- 35 years (420 months): $ 221,760
Simulate the mortgage with an income of 1600 dollars
The gross amount, which can be estimated based on the virgin debt of a borrower with a salary of $ 1,600 net, does not take into account the loan conditions of the banks.
It is therefore important to include, in the estimation of the borrowing capacity, the interest rate (APR) charged by the banks but also the costs involved in the implementation of the financing (file, brokerage, guarantee, notary ). All these elements will make it possible to define the total cost of the mortgage, it is in fact the total sum that the borrower will have to reimburse in order to validate his property acquisition.
The mortgage loan simulator will therefore allow all these elements to be taken into account and will inform the borrower with precision of the amount he can obtain from banks and financial institutions. Note that borrowers who receive a monthly net salary of $ 1,600 can benefit from devices such as the zero rate loan or the loan for social accession. These aids will be questioned during the online simulation, which is done free of charge and without obligation.