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Real Estate Quiz

Total questions: 13

Worksheet time: 10mins

Name
Class
Date
1.

What is an advantage of renting a home versus buying?

a)

You have the freedom to make changes to your home, for example, putting carpet in your home.

b)

Renting builds equity.

c)

You do not plan on staying in that home for very long, and renting makes it easier for you to move.

d)

You want to keep up with maintenance yourself rather than trusting a landlord to do it.

2.

How can buying a house help to build wealth?

a)

When you sell your home, you can access the equity that you have built. This means that you will earn the difference between your home’s price and the amount that you still owe on the mortgage.

b)

Other people will see you have a house and think you have a lot of money.

c)

The government gives money to homeowners.

d)

It doesn’t.

3.

How can a high credit score help someone buy a home?

a)

A high credit score can qualify her for a higher interest rate.

b)

A high credit score can qualify her for a lower interest rate.

c)

Credit scores don't matter.

d)

Lenders will pay the down payment on your home if you have a good credit score.

4.

Which one of the following is NOT considered an upfront cost?

a)

Property taxes

b)

Closing costs

c)

Down Payment

d)

Moving Costs

5.

What is the largest expense that someone generally pays at the time they buy a house?

a)

Property taxes

b)

HOA fees

c)

Down payment

d)

Moving costs

6.

A real estate agent can assist a buyer with all of the following EXCEPT…

a)

Setting up appointments to view homes that a buyer is interested in.

b)

Finding houses that meet a buyer’s needs and financial situation.

c)

Scheduling home inspections and appraisals after a buyer has made an offer on a property.

d)

Removing negative information from a buyer’s credit report to get better interest rates.

7.

Miguel is looking for a home. He assesses his needs and wants and decides that he must have at least 2 bedrooms, a high-tech kitchen, gaming room, and small yard. Which of the following four listings is the BEST fit for Miguel’s needs and wants?

a)

A 3-bedroom home that has a standard kitchen, gaming room, and large yard.

b)

A 4-bedroom home that has a high-tech kitchen and small yard.

c)

A 2-bedroom home that has a standard kitchen, gaming room, and small yard.

d)

A 2-bedroom home that has a gaming room, pool, and karaoke machine.

8.

What is a down payment?

a)

The amount of money that you pay in interest over the course of your mortgage.

b)

A way that you can decrease the price of your home.

c)

The amount of money that you pay towards a home at the time of purchase.

d)

The entire cost of the home over the whole length of your mortgage.

9.

Which of these factors is not a reason someone would be eligible for a special loan program:

a)

Veterans, teachers, firefighters

b)

Low- to moderate- income

c)

Being a first-time homebuyer

d)

Doing well in your job and getting recommended by your employer

10.

What does a down payment assistance program do?

a)

Help you pay for home maintenance.

b)

Help you pay for some of the upfront costs of buying a house.

c)

Help you pay for some of your mortgage each month.

d)

Help you pay for fees to end your rental lease early.

11.

James wants to buy a house. What would you recommend he do first?

a)

Go to the realtor and buy whatever house they recommend.

b)

Start looking at houses online and reaching out to realtors.

c)

Make a list of must-haves and things he would like to have and create a budget.

d)

It is always a bad idea to buy a house, you should recommend that he rent instead.

12.

True/false: Buying a home instead of renting is always the better option because you build equity when you buy.

a)

True

b)

False

13.

True/false: Building equity in your home can help create generational wealth for your family.

a)

True

b)

False