Personal Finance Courses: Housing

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1.
Renting a home is _______ cheaper than owning a home.
Choose wisely. There is only one correct answer.
Often. Often, renting is cheaper. But sometimes, it is more expensive. It depends on a lot of factors.
2.
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.
3.
The proportion of your mortgage that goes to interest _______.
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Declines over time. Your mortgage payment consists of both principal and interest. The proportion that is interest starts out high and gradually declines over the life of the loan.
4.
You must pay private mortgage insurance if your down payment on a home is less than _______.
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20%. If your down payment is less than 20% of the price of the home, you will have to pay for mortgage insurance. This insurance protects the lender (but not you) in case you fail to keep making payments on the home.
5.
A down payment on a home could cost as much as _______ of the actual price of the home.
Choose wisely. There is only one correct answer.
20%. This is generally the upper limit of a down payment.