PF: Everfi Rent or Own Review

A typical housing lease may require a tenant to:

• Repair certain types of damage to the property

• Purchase renter’s insurance for the property

• Avoid participating in illegal activity on the property

• All of the above

Which of the following statements is correct?

• Cars typically lose the most value in the first year after purchase.
• Houses will always appreciate in value over the long-term.
• Both
• Neither

Which of the following will affect the size of your monthly mortgage payment?

• The size of your down payment
• The length of your mortgage
• The purchase price of your house
• All of the above

Which best describes the benefits of renting a home?

• Renting can cost more upfront.
• Renting is less flexible than owning a home.
• Renting has a lease that cost money to break.
• None of the above.

The biggest factor in determining the price of a mortgage is:

• The total cost of the home.
• The down payment.
• The interest rate.
• The lender.

A typical housing lease may require a tenant to:

• Repair certain types of damage to the property
• Purchase renter’s insurance for the property
• Avoid participating in illegal activity on the property
• All of the above

A _________ is generally considered an appreciating asset because it may _________ in value over time.

• car; increase
• car; decrease
• house; increase
• house; decrease

Renting provides _________ flexibility but can lead to _________ costs in the long-term.

• greater; lower
• greater; higher
• less; lower
• less; higher

Which combination of factors would result in the lowest monthly mortgage payment?

• Big down payment, a longer term loan, and low interest rate
• Big down payment, a shorter term loan, and high interest rate
• Small down payment, a shorter term loan, and high interest rate
• Small down payment, a shorter term loan, and small interest rate

What is a mortgage?

• A type of rent used to pay for housing
• A type of loan used to buy property
• A measure of the value of a home
• A measure of your credit rating