Unit 5, Housing

Question 1

What is the biggest expense most families have?

Answer 1

Housing

Question 2

Advantages of renting:

Answer 2

1) Freedom to move
2) availability of money for savings
3) less responsibility for upkeep

Question 3

Money equaled to one months rent to be used towards damages you may cause.

Answer 3

Security deposit

Question 4

A contract between the landlord and the tenant

Answer 4

Lease

Question 5

Advantages of buying a house:

Answer 5

1) Buying is sometimes cheaper than renting
2) Satisfaction of owning something of value
3) You are free to make changes to your property

Question 6

Financing the remainder of the cost of a house through a ______.

Answer 6

Mortgage loan

Question 7

What does signing a mortgage describe?

Answer 7

The agency will foreclose on the mortgage if you do not make the agreed payments.

Question 8

Each monthly payment pays off a small part of the ________.

Answer 8

Principal (amount borrowed)