real estate financing calculator

NSR Calculator 1/28/2008 6:51 PM Date: 28-Jan-2008 Applicant(s) Name(s) This Loan Owner Occupied Investment Total Loan Amount -$ -$ -$ Term (Years) 0 0 0 Single Adults 0 Loan Interest Rate 0.00% 0.00% 0.00% Couples 0 Actual Repayments $0.00 -$ $0.00 Dependent Children 0 Test Rate Repayments @11.80% $0.00 -$ $0.00 Total Living Expenses -$ Amount /Limit Monthly Commitment -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Your Income Source of Income (Annual) Applicant 1 -$ -$ -$ -$ Applicant 2 -$ -$ -$ -$ -$ Applicant 3 -$ -$ -$ -$ -$ Applicant 4 -$ -$ -$ -$ -$ Applicant 5 -$ -$ -$ -$ -$ Applicant 6 -$ -$ -$ -$ -$ Untaxed Allowable Income -$ -$ Business NPBT -$ -$ -$ -$ -$ Business Add Backs -$ -$ Totals -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0.00:1 -$ Full Screen New Print B&W This Loan Total Your Application Estimated Net Income Gross Income (Excluding Rent) Gross Rental Income Total Gross Income Estimated Tax on Taxable Income Total Credit Card Limits (3.00% per month of Limits is used as the monthly commitment) Other -Provide details below (Include personal loans, car loans etc, provide details in Notes below) Version CFS 2.00 29-Oct-2007 Proposed Loan Repayments @0.00% Total Other Commitments Total Living Expenses Total Costs, including Loan, Commitments and Expenses Notes: Income/Other Commitments Other Mortgage Loans -Owner Occupied (Enter balance of loan and required monthly payment) Other Mortgage Loans -Investment (Enter balance of loan and required monthly payment) Total Monthy Commitments Living Expenses Number of Applicants:-Your Commitments Approximate Maximum Loan Amount Net Disposable Income after Total Costs Net Surplus Ratio (Minimum: 1.00:1) NSR Result 1 of 5NSR Calculator Help 1/28/2008 6:51 PM Applicant Name For identification purposes. Owner Occupied Loan amount -Owner Occupied. Investment Loan amount -Investment. Total Combined Owner Occupied and Investment loan amounts. Loan Term Term of the loan. Defaults to 30 years. Amend the loan term as required. Loan Interest Rate Enter the applicable interest rates for each of the Owner Occupied and Investment components of the loan. Repayments Automatically calculates monthly repayments for the new loan. Number of Single Adults Taken into account for automatic calculation of individual living costs. Includes applicants not living together as a couple. Defaults to zero. Number of Couples Taken into account for automatic calculation of family living costs. Includes any applicant living in a marital or defacto relationship with any non-applicant. Defaults to zero. Number of Children Taken into account for automatic calculation of family living costs. Defaults to zero. Living Costs Calculated field based on number of applicants/families and dependants. Other Mortgage Loans -Owner Occupied Detail amount of other mortgage and the current monthly commitment. Other Mortgage Loans -Investment Detail amount of other mortgage and the current monthly commitment. Total Credit Card Limit Used for automatic calculation of maximum possible monthly repayment at 3% of the credit limit. Other Include any other loan repayments. Defaults to zero. Notes The Notes section is available for details of other commitments if required. Applicants 1-6 Enter gross taxable income for each applicant. Rental Income Enter 100% of gross rental income. Converts to 80% for use in calculation of serviceability. Tax Deductibility (Rental Income) The allotted rental tax deductibility is calculated based on the amount of Rental income per applicant. Untaxed Allowable Income Other income such as family allowance. Defaults to zero. Business NPBT Business (net profit before tax) income. Defaults to zero. Business Add Backs Enter acceptable business add backs from tax returns and/or business Profit & Loss statements. Defaults to zero. Calculations are estimates only The tax calculations are estimates only, based on the current tax scales and do not take into account every allowable deduction on an individual basis. Notes The Notes section is available for details of how income figures were established. Proposed loan repayments The higher of: (a) the actual repayments using the interest rates entered in the "This Loan" section; or (b) the Test rate repayments using the test rate. Total Other Commitments Total of Commitments. Total Living Expenses As calculated. Total Costs, including Loan, Commitments and Expenses Total of Proposed Loan Repayments, Total Other Commitments and Total Living Expenses. Net Disposable Income after Total Costs Net Disposable Income after Total Costs, automatically calculates. Net Surplus Ratio (NSR) The ratio of the borrower's net disposable income after tax and living expenses to meet the existing and proposed commitments. The NSR must be at least 1.00:1. To achieve a Net Surplus Ratio calculation, the following minimum information must be supplied: (a) For this loan application: Total Loan Amount, Term and Interest Rate; (b) Either or both of Business NPBT and/or the Number of Applicants (for Living Expenses); and (c) Income so that a Total Net Estimated Income may be calculated. NSR Result For demonstration purposes only, the NSR Result will indicate: (a) Pass, if the NSR is 1.00:1 or above; (b) Reconsider, if the NSR is below 1.00:1. Approximate Maximum Loan Amount Estimates the Approximate Maximum Loan Amount that may be serviced financially from the information supplied. This estimate does not take into account other lending criteria that may apply. Refer the Operations Manual for a full description of Lending Criteria. In addition to demonstrating the ability to service a loan from income, the approval of any loan application is also dependent on loan size, Loan To Value Ratio (LVR), qualifying property criteria, and Lender's Mortgage Insurance approval. Calculations Applicant Details Other Commitments Income Getting the most out of the NSR Calculator When you are preparing to calculate the NSR ratios for your next customer simply CLICK on the Macro button labelled "New" at the bottom of the calculator to refresh all data fields. Simply input your data into the unshaded fields. These fields sit to the right of their associated blue fields. You will need to enter the applicant's name, the amount of this loan, and the interest rate related to this particular loan. The figures with a green background are automatically calculated. This calculator determines whether your proposal meets our servicing criteria and shows you how we calculate it. Using the NSR Calculator Refreshing the NSR Calculator 2 of 5NSR Calculator Detail Sheet 1/28/2008 6:51 PM Date: 28-Jan-2008 Version Date VersionDate Loan Details Owner Occupied Investment Total Total Method Loan Amount -$ -$ -$ Sum Interest Rate 0.00% 0.00% 0.00% AvgeWeighted Term Years ---Maximum Loan Repayment -$ -$ -$ Sum Test Rate Repayments -$ -$ -$ Sum Used in this Loan NSR Owner Occupied Investment Total Total Method Interest Rate 11.80% 11.80% 0.00% AvgeWeighted Repayment -$ -$ -$ Sum 0 12,324 $ -$ 0 17,917 $ -$ 0 4,354 $ -$ -$ 1.0000 NSR Repayment -$ FALSE -Business NPBT -$ FALSE -Living Expenses -$ FALSE Min Max Apply Net Income -$ FALSE Pass Green 1.00 1,000,000.00 FALSE Valid NSR? FALSE Reconsider Red 999,999.99 -0.99 TRUE 0.00:1 0.00:1 1.000000000000 -$ -$ 10 -$ -$ -$ 1,500,000 $ -$ -$ -$ -$ Loan Funds Available Monthy Loan Funds Available Calculated Max Loan Amount Total Net Income Other Commitments NSR Test Result Programme Maximum Loan Valid NSR Calculation? Refer Help Text -Net Surplus Ratio (NSR) Invalid Default Value Maximum Loan Rounddown Maximum Loan Maximum Loan Rounded Couples Dependent Children Total Living Expenses NSR Required for Maximum Loan Amount Calculated Pass /Caution /Reconsider Formatted NSR Result NSR Calculator Details Calculated Pass Max Loan Amount Maximum Loan Amount Living Expenses Total Living Expenses Single Adults Applicant(s) Name(s) CFS 2.00 29-Oct-2007 Calculated Truncated NSR Results Required Version CFS 2.00 29-Oct-2007 Number $ Living Expenses 3 of 5NSR Calculator Detail Sheet 1/28/2008 6:51 PM Date: 28-Jan-2008 Version Date VersionDate NSR Calculator Details Applicant(s) Name(s) CFS 2.00 29-Oct-2007 Version CFS 2.00 29-Oct-2007 This Loan Other Loans Applicant 1 -$ -$ -$ 0.00% -$ -$ -$ -$ -$ Applicant 2 -$ -$ -$ 0.00% -$ -$ -$ -$ -$ Applicant 3 -$ -$ -$ 0.00% -$ -$ -$ -$ -$ Applicant 4 -$ -$ -$ 0.00% -$ -$ -$ -$ -$ Applicant 5 -$ -$ -$ 0.00% -$ -$ -$ -$ -$ Applicant 6 -$ -$ -$ 0.00% -$ -$ -$ -$ -$ Business NPBT -$ -$ -$ 0.00% -$ -$ -$ -$ -$ Totals -$ -$ -$ 0.00% -$ -$ -$ -$ -$ Tax Calculations Applicant 1 -$ -$ 0.00% -$ -$ -$ Applicant 2 -$ -$ 0.00% -$ -$ -$ Applicant 3 -$ -$ 0.00% -$ -$ -$ Applicant 4 -$ -$ 0.00% -$ -$ -$ Applicant 5 -$ -$ 0.00% -$ -$ -$ Applicant 6 -$ -$ 0.00% -$ -$ -$ Business NPBT 33.00% -$ -$ Totals -$ -$ -$ -$ -$ Net Income Income 80.00%Gross Rental Income Total Gross Income Applicant Total Tax Gross Income (Excluding Rent) Tax Bracket Base Tax Tax Bracket Tax Rate Income CalculationsTax Bracket Tax on Income Tax @Rate Over Base Deductible Interest Rental Allocation Total Tax NSR Calculator Income and Tax Calculations Base Tax Bracket Amount Applicant 4 of 5NSR Calculator Detail Sheet 1/28/2008 6:51 PM Date: 28-Jan-2008 Version Date VersionDate NSR Calculator Details Applicant(s) Name(s) CFS 2.00 29-Oct-2007 Version CFS 2.00 29-Oct-2007 Standard Test Rate 11.80% 80.00% 3.00% Taxable income TaxInc TaxBase TaxRate $0 – $38,000 -$ -$ 19.50% $38,00 – $60,000 38,001 $ 7,410 $ 33.00% Over $60,001 60,001 $ 14,670 $ 39.00% 33.00% $7,410 plus 33c for each $1 over $38,000 Credit Card Monthly Commitment -Percentage of Limit Interest Rate Rental Income Percentage$14,670 plus 39c for each $1 over $60,000 Tax on this income 19.5c for each $1 NSR Calculator Financial Assumptions Company Tax Rate $38,001 -$60,000 Over $60,000 Standard Financial Assumptions $0 -$38,000 Taxable income IRD Tax Rates 5 of 5