Personal Finance Courses: Housing

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1.
An advantage of _______ is that you can build equity.
Choose wisely. There is only one correct answer.
Owning a home. When you own a home, the money that you paid on it will be your equity.
2.
As a rule of thumb, a mortgage payment shouldn't exceed how much of your monthly gross income?
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30%. The rule of thumb for monthly payments is that they shouldn't exceed 30 percent of your monthly gross income.
3.
A person whose job it is to help people find an apartment to rent is called _______.
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A rental agent. Rental agents find apartments for people to rent.
4.
The current market value of your home, minus what you owe on it, is commonly known as your _________.
Choose wisely. There is only one correct answer.
Home equity. Your home equity is the difference between what you own (the current market value of your property) and what you owe on the property.
5.
What kind of loan uses the equity in your home as collateral so that you can borrow money?
Choose wisely. There is only one correct answer.
Home equity loan. Your home equity is the difference between what you own (the current market value of your property) and what you still owe on the property. You can take out a loan against this amount, called a home equity loan.