Can we afford that dream house?

Home cost = 80,000.00

Down payment = 25,000.00
Loan
Amount: 55000.00
Annual Interest rate
(Type % after the figure) 7.25%
Instalment frequency ##
(months): 1 (i.e. indicate if payments are made on monthly basis(1),
Number of
Periods: 75 or every two months(2) etc.)

Your loan instalment will be

Detailed breakup of the repayments made
Total amount repaid
Total interest paid

Can we afford this?

1 Our monthly income is
2 Every year, during the loan period, we expect income to increase by
3 Our current monthly expenses are
4 Monthly expenses are expected to increase by
from next month,(due to inflation),every month
5 During the next 75 months, I expect some more extra
expenses on account of say, children's education etc.
These will occur in the following months:
Give month numbers here:
(You can indicate for upto Month 1 60
two months in the future) Month 2
6 My tax bracket is 30 %

At the end of 75 months, your financial position will be as follows:-

Total receipts 639,375.00 Note you will get a tax rebate on the amount of in
Total outflows 467,343.38 Tax benefit has been adjusted from the outflow am
Total expected surplus is = 172,031.62 while calculating the overall position.

So, the bottom line is OK , you can go ahead.

See how much you can afford to buy a house for, and still have a surplus.Red figure denotes unaffordable position
Other things remain same. House costs
Err:522 Err:522
Total receipts $639,375.00 639375.00 639375.00
Total outflows $467,343.38 Err:522 Err:522
surplus/deficit $172,031.62 Err:522 Err:522

Run date Thursday, August 20, 2009

© Rakesh Mathur
12/01/07
eam house?
## explanation
This is the frequency of repayment.

If loan instalment payments are to be made

every month, put 1

re made on monthly basis(1), every 2 months, put 2

every 6 months, put 6 and so on….

914.16 (including interest portion)

68,561.97
13,561.97

Rs.
8000 takehome(net of all deductions)
2000 (give annual dollar takehome amount)
3500
50 Rs. per month

Give here theRs. amount(not %)

of increase in monthly expenses.Zero if no increase.
100

u will get a tax rebate on the amount of interest paid.

efit has been adjusted from the outflow amounts
lculating the overall position.

ed figure denotes unaffordable position.

House costs
Err:522 Err:522 Err:522 Err:522 Err:522
639375.00 639375.00 639375.00 639375.00 639375.00
Err:522 Err:522 Err:522 Err:522 Err:522
Err:522 Err:522 Err:522 Err:522 Err:522