QM – QUALIFIED MORTGAGE LOANS AND ABILITY TO REPAY.  (1)  3% points and fees cap for loan amounts greater than $100,000.  (2)  maximum debt-to-income ratio of 43%.  (3)  no negatives features such as negative amortization, balloon payments & interest only.  (4)  maximum 30-year loan term.  WHAT IS ABILITY TO REPAY?  (a)  income and asset verification, (b)  employment, (c)  monthly mortgage payments, including subordinate liens, (d)  all monthly mortgage-related debt, such as taxes, insurance, etc., (e)  verification of all monthly debts and liabilities, including alimony and child support, (f) DTI or residual income, (g)  credit history.  MORE IN A DAY OR SO!