Chapter 12

Question 1

The value of your house over and above the mortgage

Answer 1

Equity

Question 2

Listing service realtors use

Answer 2

MLS

Question 3

Protects you against an ownership claim

Answer 3

Title insurance

Question 4

Loan secured by collateral of a specific real estate property

Answer 4

Mortgage

Question 5

Shows where your property lines are

Answer 5

Land survey

Question 6

The face value of your mortgage, not including interest

Answer 6

Principal

Question 7

An increase in value

Answer 7

Appreciation

Question 8

An agreement that ensures the structural soundness of a home

Answer 8

Home warranty

Question 9

T/F baby step 7 is to pay off your house

Answer 9

False- baby step 6 pays off your house

Question 10

T/F- The best mortgage is an adjustable rate mortgage

Answer 10

False- 100% down plan is best

Question 11

T/F- a real estate agent is usually well worth the commission

Answer 11

True

Question 12

T/F- friends or relatives make the best real estate agents

Answer 12

False- you need someone with no emotions strings

Question 13

T/F- your rent or mortgage payment should be at least 25% or more of your take home pay

Answer 13

False- no more than

Question 14

What type of mortgage is an ARM

Answer 14

Adjustable rate mortgage

Question 15

An opinion of value on a home

Answer 15

Appraisal

Question 16

a home loan In which the interest rate will change periodically

Answer 16

ARM

Question 17

A regular mortgage obtain through the federal national mortgage association

Answer 17

Conventional loan

Question 18

The appearance of a home from the street

Answer 18

Curb appeal

Question 19

A homeowner receives money from the lender secured by the value of a home and does not pay the loan back as long as he or she lives there

Answer 19

Reverse mortgage

Question 20

PMI

Answer 20

Private mortgage insurance

Question 21

Mortgage loans that are generally give them to people who otherwise would be unable to qualify for a conventional home mortgage loan

Answer 21

FHA Loan

Question 22

And interest rate that stays the same throughout the term of the loan

Answer 22

Fixed rate

Question 23

Often hired by a potential home buyer to provide a written report about the properties condition and a list of necessary or recommended repairs

Answer 23

Home inspector

Question 24

When a property buyer finances the purchase directly through the person or entity selling it

Answer 24

Owner financing

Question 25

Many people on the use of a property for a certain amount of time per year

Answer 25

Time share