Renting/Leasing vs Buying

Which of the following statements is TRUE?

• an adjustable rate mortgage will give you a fixed amount each month that you will have to pay for your mortgage payment

• an adjustable rate mortgage is safer than an adjustable rate mortgage because you will know in advance what your payment is each month

• a fixed rate mortgage is safer than an adjustable rate mortgage because you will know in advance what your payment is each month

• none of these are true

Someone might choose to own a car instead of leasing a car because:

• it will be less expensive

• it will be more expensive

• it could lead to lower repair expenses

• it could be sold later on to make some money back on the vehicle

Some apartment/condo rental leases might require you to purchase which of the following?

• a down payment

• rental insurance

• depreciation

• a car or other vehicle

Most mortgages are for how many years?

• 10

• 15

• 30

• either 15 or 30

Tags

CCSS.6.RP.A.3B

If you don't pay your mortgage on time, what might happen?

• the bank might foreclose on your house

• you might have to declare bankruptcy

• you might not be able to get credit for 7-10 years

• all of these are things that might happen if you don't pay your mortgage on time

A car is a(n) ________________________ asset.

• appreciating

• depreciating

Tags

CCSS.RF.3.3B

CCSS.RF.3.3C

CCSS.RF.3.3D

CCSS.RF.4.3A

CCSS.RF.5.3A

The amount of money paid toward purchasing a home is called:

• security payment

• underwriting payment

• down payment

• loan payment

Car leases usually have:

• unlimited terms

• minimum mileage agreements

• maximum mileage agreements

• none of these

How can you reduce your monthly mortgage payment?

• by getting a higher interest rate

• by putting less money as a down payment

• by shortening the term of the loan

• by lengthening the term of the loan

Money collected by the landlord and paid by the tenant that are used only if the tenant causes damage to the property that is rented is called a:

• security payment

• down payment

• depreciation payment

• mortgage