WorksheetsPF Ch.11 Quiz
Total questions: 25
Worksheet time: 13mins
It's best to develop good _____________ now instead of waiting until you're on your own to figure it all out.
Money habits
Diet and exercise plans
Real estate investments
Friendships
Your rent payment should total no more than ______% of your take-home pay.
50%
15%
75%
25%
When you're ready to buy a house, the best option is a __________.
20-year VA loan
15-year fixed-rate conventional mortgage
30-year equity loan
30-year fixed rate mortgage
What does cost of living refer to?
How much of your monthly income is budgeted specifically for your rent or mortgage
The average cost of the basic goods and services needed to maintain a certain standard of living
The level of wealth, comfort, material goods and necessities available to a group of people
How wealthy or poor you are at the time of purchasing your first home
Making periodic payments to a landlord for the use of their property is called __________.
Down payment
Buying
Renting or leasing
Security deposit
You should rent until you are able to __________.
Buy a home the right way
Become a landlord someday
Invest in stocks
Buy amenities
Buying a house while _________ can put your _________ at risk.
In debt; home purchase
Getting pre-approved; life
Debt-free; renter's insurance
On a budget; social life
Living on campus at college will help you _________ living on your own, while living off campus will require you to _________.
Dive into; live with your parents
Ease into; pay for rent, utilities, and groceries
Get used to; cut half of your college courses
Enjoy; find roommates
Your decision to rent or buy depends on your _________.
Feelings towards renting or buying
Income tax
Financial situation
Friends' opinions
As you shop around and compare rent prices, remember that paying extra for _________ is not worth it if it keeps you from reaching your financial goals.
Amenities
Mortgages
Tax brackets
Security deposits
A house is an asset that typically will _________ value over time.
Stay the same
Decrease in
Depreciate in
Increase in
You need to be completely out of debt, have a fully funded emergency fund, and have saved enough cash for a down payment before you _________.
Buy a house
Lease a house
Rent a house
Sell a house
The only time it’s okay to borrow money if you can’t pay 100% in cash is . . .
Getting a car lease
Buying a home (mortgage)
Renting a home
For home improvement projects
No matter what path you choose to take after high school, the money principles stay the same. What are they?
Live on more than you make and debt dominates all.
Only use a debit card for purchases, rent-to-own loans are king, and don't open a savings account.
Invest before anything else and budget if you have time.
Save, budget, stay out of debt, live on less than you make, and be generous.
If you look at long-term costs, __________ is usually the better deal.
Homeownership
Renting
Leasing
Maintaining
What type of interest rate is locked in and won't change for the life of the loan?
15-year
Fixed-rate
Equity
Adjustable rate
When someone spends so much of their income on the costs of homeownership that they struggle to reach their other financial goals, they are __________.
Wealthy
House poor
Wise homeowners
Rent poor
What information should a lease contain?
The names and numbers of the closest shopping malls
Property address, rental term, security deposit terms, and pet fees
Acknowledgement clause, your name, and the local restaurants available
An agreement that your rent will only be paid on a credit card
What is your mortgage principal?
The largest amount of money you are legally allowed to borrow
The down payment needed to get a mortgage
The amount borrowed (that must be repaid) to purchase a home
The first payment you make on your new home
To make living with a roommate more peaceful while you're saving money . . .
Communicate, be respectful, and be considerate
Require your roommate to pay a larger rent check than you do
Avoid talking to them in order to avoid conflict
Assume that your best friend will make a great roommate
After you hire a real estate agent, the next step in the process is to __________.
Close on your new home
Get a home inspection
Start looking at homes within your budget
Make an offer on a home
What are some of the costs of living on your own?
Rent, utilities, groceries, and transportation
Only rent and groceries
Entertainment and luxury expenses only
None of the above
What are some ways that someone can save money on their rent?
Renting a larger apartment
Living with roommates or negotiating rent
Paying rent late every month
Renting in the most expensive area of the city
What are some good questions you could ask an adult to help you prepare to be financially independent someday?
How do I spend all my money on entertainment?
What are the best ways to save, budget, and invest?
How can I avoid paying bills?
How do I get rich quickly without working?
Why is a 15-year fixed-rate mortgage better than a 30-year?
It has a lower interest rate and is paid off faster
It has a higher interest rate but is more flexible
It allows you to pay less each month forever
It is better because it is more expensive
