Current Ratio
The main problem with the debt/income ratio method is that it can provide a false sense of security. Since many credit cards require only a very low minimum monthly payment, it may appear that you can afford the monthly payments even though your total debt is unmanageably high, and would take forever to pay [...]

Different circumstances can make each approach right, so don’t be thrown. It is a transfer of an interest in land, from the owner to the mortgage lender, on the condition that this interest will be returned to the owner of the real estate when the terms of the mortgage have been satisfied or performed.
Although [...]