Chapter 10 Practice Test - Housing

Elaine and Ronald Sumter consider purchasing a new home for $179,000. A 15% down payment is required. What is the amount of the mortgage loan needed to finance the purchase?

• $11,933.33

• $26,850.00

• $152,150.00

• $205,850.00

The Lawrences consider purchasing a new home for $224,000. A 10% down payment is required. What is the amount of the mortgage loan needed to finance the purchase?

• $22,400

• $171,360.00

• $179,200.00

• $201,600.00

Lori and Percy Saunders have been granted a mortgage loan at an annual interest rate of 7% for 25 years. The home has a selling price of $129,000. They need a 15% down payment, and their bank will allow them to finance the closing costs as part of the mortgage. According to the closing costs listed below, what is the actual amount financed with the mortgage?

• $116,714.00

• $109,650.00

• $26,414.00

• $7,064.00

Tiffany and Mika Oberneder have been granted a mortgage loan at an annual interest rate of 6.5% for 30 years. The home has a selling price of $225,000. They need a 15% down payment, and their bank will allow them to finance the closing costs as part of the mortgage. According to the closing costs listed below, what is the actual amount financed with the mortgage?

• $238,100.00

• $229,100.00

• $194,911.25

• $182,873.24

Susan and Stephan Polanski obtained a 20-year, $95,000 mortgage loan. The interest rate is 7%. Their monthly payment is $736.25. For the first payment, what is the payment to principal?

• $27.71

• $182.08

• $554.17

• $708.54

Keely and Nick Jones obtained a 30-year, $275,000 mortgage loan from State Bank and Trust. The interest rate is 8%. Their monthly payment is $2,018.50. For the first payment, what is the amount of interest?

• $1,833.33

• $161.48

• $1,857.02

• $2,005.04

The Orange County tax assessor determined that the market value of the Schmidt's house is $132,000. The rate of assessment in Orange County is 50% of market value. The tax rate is 48.75 mills. What is the real estate tax on the Schmidt's house?

• $32.18

• $321.75

• $3,217.50

• $6,435.00

The Greene County tax assessor determined that the market value of the Friedman's house is $164,500. The rate of assessment in Greene County is 45% of market value. The tax rate is 42.25 mills. What is the real estate tax on the Friedman's house?

• $3,127.56

• $3,822.57

• $6,950.13

• $7,402.50

The replacement value of the Hernandez's home is estimated at $140,000. They have insured their home for 80% of the replacement value. According to the figures below, what is the amount of coverage on the Hernandez's personal property?

• $112,000

• $56,000

• $22,400

• $5,600

The replacement value of the Bonner home is estimated at $240,000. They have insured their home for 80% of the replacement value. According to the figures below, what is the amount of insurance on the Bonner's garage and other structures?

• $19,200

• $38,400

• $96,000

• $192,000