Housing Test

Buying a home is ALWAYS better than renting

• True

• False

• Depends on personal context and where you are in life.

• Stay at home with parents

One benefit to buying a house is being able to customize it whereas you may not have that flexibility in an apartment or rental.

• True

• False

One benefit to renting is usually maintenance is not your responsibility

• True

• False

How much a home might ______ or _______ is a factor in determining whether the best choice is to rent vs. buy.

• Grow or shrink

• appreciate or depreciate

• fall apart or be kept up

• None of these

If you save up $125,000 to put down on a home that costs $500,000, you will have to ask the bank for a loan amount of $375,000. When will you receive the title to the house?

• When you put down the $125,000

• When you pay off the loan to the bank

• Once you sign the paperwork to apply for the loan

• Never

Khan talks about what types of interest rates?

• Fixed Rate Mortgages

• Adjustable Rate Mortgages

• 5/1 Loans

• All of these

Even small changes to your ______ can have a big impact on your interest rate.

• Job Salary

• Education level

• Credit Score

• None of these

A _________________ occurs when someone wants to sell a home, but owes more on the home than its value.

• Foreclosure

• Purchase

• Short Sale

• None of these

a blend of a fixed rate mortgage and an adjustable rate mortgage.

• hybrid adjustable rate mortgages

• Double Mortgage

• Rental Rate

• None of these

When determining how much you can borrow to buy a home, lenders may consider your _____

• income level

• employment status

• credit history

• all of these