A general rule of thumb is that a person should not spend more than 28% of their gross income on housing expenses. In Marla's case, that would be $18,500 * 0.28 = $5,180.
Therefore, Marla should consider spending a maximum of $5,180 on purchasing a house.
Marla's gross income is $18,500. What is the maximum amount she
should consider spending to purchase a house?
1 answer