Housing Affordability Quiz

What was the range of mortgage rates mentioned for early 2021?

• 2.65% to 3.5%

• 4.5% to 5.5%

• 3.5% to 4.5%

• 1.5% to 2.5%

According to the 30% rule, what percentage of your gross income should be spent on rent?

• 35%

• 30%

• 25%

• 20%

What is a limitation of the 30% rule for renting?

• It doesn't account for other debts.

• It assumes a fixed rent price.

• It doesn't consider location.

• It requires a high credit score.

What does the 28 in the 28/36 rule refer to?

• The percentage of income for all debts.

• The percentage of gross income for mortgage payments.

• The percentage of net income for mortgage payments.

• The percentage of income for savings.

What is the significance of the 36 in the 28/36 rule?

• It is the percentage of income for taxes.

• It is the maximum percentage of income for all debts including mortgage.

• It indicates the percentage of income for savings.

• It represents the maximum percentage of income for housing costs.

In the 30/33 rule, what does the first 30% represent?

• The percentage of net income for housing payments.

• The percentage of gross income for housing payments.

• The percentage of income for savings.

• The percentage of income for taxes.

Why is it recommended to have 30% of the home's purchase price in cash?

• To invest in home improvements.

• To cover the down payment and additional costs.

• To pay off existing debts.

• To pay for closing costs.

What is a challenge of following the 3x income rule for buying a house?

• It requires a high credit score.

• It is difficult in high-cost living areas.

• It assumes a fixed mortgage rate.

• It requires a large down payment.

What is the average home price in San Francisco mentioned in the video?

• $1.5 million

• $1.28 million

• $2 million

• $800,000

What is the median household income in San Francisco as mentioned?

• $200,000

• $150,000

• $119,000

• $100,000