Mariarne carns a gross income of $$ \$ 5,500 $$ per month and applies for a mortgage with a monthly PITI of $$ \$ 1,244 $$. Mia has other financial obligations totaling $$ \$ 829 $$ per month. (Use the ratio guidelines on page 468 .) What type of mortgage, if any, would Mirianne qualify for? Select one: a. FHA only

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To determine the type of mortgage that Mirianne would qualify for, we need to calculate her debt-to-income (DTI) ratio. The DTI ratio is calculated by dividing the total monthly debt payments by the gross income.

Given:
- Gross income: $5,500 per month
- Monthly PITI (Principal, Interest, Taxes, and Insurance): $1,244
- Other financial obligations: $829 per month

First, let's calculate the total monthly debt payments:
Total monthly debt payments = Monthly PITI + Other financial obligations
Total monthly debt payments = $1,244 + $829
Total monthly debt payments = $2,073

Next, we calculate the DTI ratio:
DTI ratio = Total monthly debt payments / Gross income
DTI ratio = $2,073 / $5,500

Now, we can determine the type of mortgage that Mirianne would qualify for based on the DTI ratio. If the DTI ratio is less than or equal to 31%, she would qualify for a conventional mortgage. If the DTI ratio is greater than 31% but less than or equal to 43%, she would qualify for an FHA mortgage. If the DTI ratio is greater than 43%, she would not qualify for any mortgage.

Let's calculate the DTI ratio and determine the type of mortgage that Mirianne would qualify for.
Calculate the value by following steps:
- step0: Calculate:
  $$\frac{2073}{5500}$$
The DTI ratio is approximately 0.3769.

Based on the DTI ratio, Mirianne would qualify for an FHA mortgage since her DTI ratio is less than 43%.
Marianne qualifies for an FHA mortgage.

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