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Worksheets

Housing and Real Estate

Total questions: 18

Worksheet time: 11mins

Name
Class
Date
1.

If you're _________________, your house payment or rent is more than you can afford and still pay your bills.

a)

house poor

b)

rich

c)

under-prepared

d)

financially literate

2.

The total amount still owed on a house is the ___________________.

a)

leasing principal

b)

charter amount

c)

mortgage principal

d)

equity

3.

You'll want to have a(n) _________ of 10-20% of the total cost of the house you want to buy.

a)

investment

b)

down payment

c)

budget

d)

cost of living

4.

_______________ means you pay someone else each month for a place to live.

a)

house poor

b)

equity

c)

owning a home

d)

renting

5.

_______________ refers to the average amount needed for housing, food, clothes, and other goods and services.

a)

budgeting expenses

b)

cost of living

c)

renter's cost

d)

standard of living

6.

__________ is the difference between what a house is worth and what is still owed on it.

a)

equity

b)

mortgage

c)

investment amount

d)

life of the loan

7.

Apartment ______________ such as a pool, fitness center, and other perks are nice but usually mean higher rent prices.

a)

upgrades

b)

luxuries

c)

amenities

d)

benefits

8.

A fixed-rate mortgage means your payment and interest rate won't

a)

change for the life of the loan

b)

change for the first five years of the loan

c)

stay the same until your principal is paid down by 20%

d)

stay the same during the first five years of the loan

9.

Whether you're renting or buying, your monthly payment should be

a)

less than 40% of your take-home pay

b)

less than 15% of your take-home pay

c)

less than 25% of your take-home pay

d)

more than 10% of your take-home pay

10.

Having a large house down payment (at least 20%) has benefits such as

a)

no PMI, lower total loan, and lower monthly payments

b)

more amenities, no PMI, and higher monthly payments

c)

PMI provided, higher total loan, and lower monthly payments

d)

PMI provided, more amenities, and lower monthly payments

11.

Appreciating means that the value of a home you buy will continue to

a)

go up, but only after ten years of paying your mortgage

b)

fluctuate over time

c)

go down over time

d)

go up over time

12.

When buying a house, you'll typically need a _____ % down payment to avoid paying PMI.

a)

10

b)

15

c)

20

d)

25

13.

The first step in buying a house is to find out how much a bank will loan you for the purchase--also know as being __________.

a)

preapproved

b)

preactivated

c)

prerecognized

d)

preordained

14.

Another word used for "renting" is:

a)

buying

b)

leasing

c)

investing

d)

owning

15.

What does the A stand for in the home loan option referred to as an ARM?

a)

Adjustable

b)

Automatic

c)

Adaptable

d)

Administration

16.

Whether you rent an apartment or buy a house, try to keep your monthly payment below _____% of your take-home pay.

a)

20

b)

25

c)

30

d)

35

17.

A loan obtained for a home purchase is a(n)

a)

equity

b)

inspection

c)

lease

d)

mortgage

18.

How do you feel about your understanding of Housing and Real Estate?

a)

I don't have it yet.

b)

I almost have it!

c)

I've got it!

d)

I've got it! I could teach it to someone else!