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1.
If you don't hire a realtor to help buy a house, you can do without a real estate attorney as well to keep your costs down.
False. Regardless of whether you hire a realtor, having a real estate attorney go over the contract and look after the legal details can save you a lot of money.
2.
Your monthly mortgage payments should not exceed _______ percent of your gross monthly income.
25 to 30 percent. Lenders' guidelines require that your mortgage payment not exceed 25 to 30 percent of your gross monthly income.
3.
A FICO score of 750 is considered by lenders to be a good score.
True. FICO scores above 670 are viewed as strong scores, while those below 600 are viewed poorly and result in poor credit terms.
4.
_______ is when a realtor nudges you in the direction of higher-priced homes.
Up-selling. Since a realtor's commission is based on the sale price of the home, they don't have anything to lose by showing you and urging you to buy a higher-priced home that you can't really afford.
5.
If you make a written purchase offer on a house that is accepted by the seller, you can change your mind later and back out.
False. A written purchase offer on a house is a binding contract, and once the seller has accepted your offer, you can't change your mind unless you are exercising a contingency set forth in that contract.