Barriers to Homeownership for Millennials

Why do many millennials choose to move to big cities after finishing college?

• To pursue higher education

• To be closer to family

• To find affordable housing

• To find job opportunities

What is one strategy to lessen the financial burden of living in a big city?

• Utilizing mass transit

• Taking out a car loan

• Purchasing a car

• Moving to a smaller town

Why do many individuals in larger urban areas settle for renting rather than buying a home?

• Lack of desire to own a home

• High real estate prices and low housing supply

• Difficulty in finding rental properties

• Preference for flexibility

What is one way to save money for a down payment while renting?

• Investing in stocks

• Purchasing luxury items

• Taking out a personal loan

• Limiting other expenses and establishing a savings account

What is the benefit of the NC Home Advantage Mortgage program?

• No closing costs

• Guaranteed approval for all applicants

• Down payment assistance that may not have to be repaid

• Low interest rates

What is one way to address the obstacle of student loan debt when trying to save for a down payment?

• Focusing on paying off credit card debt

• Taking out more student loans

• Refinancing your student loan to lower the rate

• Ignoring the student loan debt

What is the average credit score for millennials according to the text?

• 620

• 640

• 660

• 680

How can individuals improve their credit score to prepare for homeownership?

• Paying off lower credit debt first

• Opening more credit cards

• Ignoring credit card payments

• Taking out a personal loan

What is redlining in the context of homeownership?

• A practice of marking risky neighborhoods for federal mortgage loans based on race

• A method to add green space to inner cities

• A strategy to increase property value

• A program to provide down payment assistance

Which group of residents is most affected by the policy of redlining?

• Upper-income white borrowers

• Middle- or upper-income African American borrowers

• Upper-income Asian American borrowers

• Lower-income white borrowers