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Worksheetsbuying vs renting-housing
Total questions: 46
Worksheet time: 3hrs 3mins
One of the advantages of renting is that you
can build equity.
can remodel or make decorative changes as wanted.
have less responsibility for maintenance and upkeep.
have an opportunity to make friends with your neighbors.
When making decisions about a place to live, you should
determine what you want and figure out a way to pay for it.
determine how much you can spend and stay within your budget.
not worry about the cost because it is most important that you feel safe and happy with where you live.
base your final choice on cost because you can learn to be happy living anywhere you can afford to live.
A lease specifies _______________________________ when renting a place to live.
what you can and cannot do
only the rights and responsibilities of the tenant
only the rights and responsibilities of the landlord
the rights and responsibilities of the tenant and landlord
A down payment is the
part of the purchase price paid in cash up front.
amount that a person must pay when renting an apartment.
difference between how much a house is worth and how much is owed on it.
loan to finance the purchase of real estate, usually with specified payment periods and interest rates.
Which of the following should be included in a lease before you sign?
The amount of the rent and how it must be paid.
If you have roommate, only one person’s name and signature.
The hours that the office is open and how to contact the manager.
The address of the apartment complex, but not the exact apartment number.
Janalee is graduating from college and moving out of the dorm. Her best friend found a job in Dallas and plans to move soon. Janalee is not sure whether to keep her job in Tulsa or move to Dallas with her friend. She needs a place to live until she decides. What do you recommend? Janalee should
buy a house because she can sell it when she leaves and make some money on it.
sign a one year lease on an apartment because it will give her time to decide what she wants to do.
rent an apartment, either on a month-to-month lease or with a lease that she can cancel if relocating out of state.
buy a house; she can always rent it out to someone else if she cannot sell it when she decides to move.
The purpose for a security deposit is to
pay for the last month of rent on your lease.
pay for all maintenance while you live in the apartment.
allow the owner/landlord draw interest on your money while you live in the apartment.
provide some protection for the landlord for damage you made to the apartment, cleaning fees, or other costs.
Which of the following statements is TRUE?
Renting an apartment is a greater financial commitment than owning a house.
Owning a house is a greater financial commitment than renting an apartment.
There is little financial difference between owning a house and renting an apartment.
Owning a house is for wealthy people and renting an apartment is for low income people.
Juan and Rebecca want to buy a house, but they have no idea what price range they can afford. What do you recommend to them?
Get pre-qualified for a loan before starting their housing search.
Read through the ads in the newspaper and see what sounds good.
Get pre-approved for a mortgage before looking for a place to buy.
Find a real estate agent who can tell them about the best neighborhoods.
“Buying a house is the most expensive purchase most people make.” Is this statement true or false?
The statement is TRUE because buying a house is a major expenditure for most individuals and families.
The statement is TRUE because most people spend at least 50 percent of their income on housing.
The statement is FALSE because most people spend more on cars and clothing than on housing.
The statement is FALSE because most people rent; only the wealthy can afford to buy a house.
When renting an place to live, utilities are
always included in the monthly rent.
always paid the tenant.
paid either by the tenant or landlord.
not required when renting.
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
The formal process where your landlord terminates your lease and asks you to vacate your apartment in a period of time decided by local laws and statutes.
Eviction
Deed
Lease
Principal
The owner of your property, or an agent of the owner, who leases out the apartment.
Tenant
Renter
Owner
Landlord
What is a disadvantage of renting a home.
the money you pay isn't going towards owning the house
renting is way more expensive than buying
renting makes you look irresponsible
when renting you are stuck in the home for a very long time
Brianna is reading over the ___ for renting a house. The ___ reads that she must pay rent for 12 months. If Brianna moves in, she will be the ___. Fill in the blanks in the correct order.
term, lease, lanlord
lease, deposit, landlord
lease, term, tenant
term, lease, tenant
Mercedes owns a house but she has moved out. To make extra money over the years she decides to ___ the house out. Emily moves in the house and pays $650 a month. After a couple months Emily has wild house parties and gets 3 dogs. Mercedes clearly stated in the ___, "no pets or wild parties." As the ___, Mercedes threatens to ___ Emily if she keeps ignoring these rules. Fill in the blanks.
lend, lease, landlord, evict
rent, lease, tenant, evict
rent, term, landlord, exit
rent, lease, landlord, evict
An advantage of renting is that you do not have the costs associated with owning a home such as property taxes.
True
False
1. A(n) _________________ is a loan to purchase a home or property.
lease
mortgage
rental agreement
insurance policy
As a homeowner, you can lose your home, and your investment in it, if you do not make timely mortgage payments.
True
False
A(n) _________________________is a legal document that protects you and the landlord by clearly stating the arrangement between the two of you for a property agreement.
rental paperwork
insurance policy
mortgage
lease
A landlord is allowed to raise rent at any given time whenever he/she chooses without the consent of the renter.
True
False
A(n) _________________is money you give to the landlord when you sign the lease. The lease must state what it will be used for, and whether or not it is given back to the renter when he or she moves out.
mortgage
security deposit
interest payment
down payment
The fees associated with buying and settling, or finalizing the sale of a home are called _________________________.
closing costs
termination fees
settlement costs
inspection fees
In most instances, the ____________ pays the closing costs.
buyer
selller
attorney
insurance company
What is a mortgage?
A loan borrowed to buy a house (if you don't pay the loan the bank takes your house)
A loan borrowed with your house as collateral (if you don't pay the loan the bank takes your house)
Both of these are true
After moving out of their family home, how do most people pay for housing?
Buy a home
Rent a home
Which of these is NOT a valid option for a property you can rent to live in?
The ORHS Gym
An apartment
A condo
A house
What term is used to describe money paid to the owner of a home?
Euros
Rent
Mortgage
Interest Payments
When paying rent to a landlord, is your money ever returned to you?
Yes
No
When renting a home, what term refers to the owner of the home?
Boss
Coach
Tenant
Landlord
Which of these is not a term for someone living in a rented space?
Renter
Tenant
Homeowner
Which type of setting would have the highest rent?
Rural Area
Suburb
Urban/Downtown Area
Which type of area would have the lowest rent?
Urban
Suburban
Rural
Which of these is a positive aspect of renting?
Mobility
Payments made are never seen again
Gaining property
Inability to remodel rooms
Which of these is a negative aspect of renting?
Mobiity
Landlord responsible for maintenance
Amenities
No ownership over property
How do most people purchase a home?
In cash
Through a lease
With a down payment and a mortgage loan
Building their own
Which of the following would a landlord be responsible for?
Cleaning your bathroom
Fixing a leaky sink
Doing laundry
Adding art to the walls
When renting, who is responsible for general maintenance issues?
Renter
Landlord
In which situation would renting a home be better than purchasing a home?
When you need the flexibility to move
If you believe you will not move for ten yeats
If you wish to remodel a space
When you have enough for a 40% down payment
What is a home loan called?
Mortgage
Personal Loan
Car Loan
Above Rent Payments
