Selecting and Financing Housing

People who have very little money in savings will probably rent housing rather than purchase it. True False

True

Some of the factors to consider when determining a price for a home include the owner's need to sell, the time the home has been on the market, and the features and condition of the home. True False

True

The importance of preparing your home for sale is that it can make for a fast and financially favorable sale. True False

True

The services that a real estate agent can provide include suggesting a selling price, making potential buyers and other agents aware of your home, and conducting showings of your home. True False

True

A security deposit covers the cost of damages that may be done to a rental unit. True False

True

Every buying decision is a statement about your lifestyle. True False

True

Factors that impact the asking price for a home include recent selling prices of comparable homes in your area. True False

True

Two external (market) factors that affect the price of a home are the current demand for housing and the financing options (i.e., interest rates) available. True False

True

An estimate of the current value of the property is known as: financial value analysis. legal value. a fair value assessment. an appraisal.

an appraisal.

Select all that apply Common sources of down payment funds to purchase a home include: a loan from a bank assistance from relatives the sale of investments personal savings

assistance from relatives the sale of investments personal savings

The most important factor when buying a home is said to be the home's ____________

location

One of the most important services that real estate agents provide is that they: make sure that all potential buyers have owned a home before. market your house on various websites. help you buy property that may be beyond your budget. help you improve your credit.

market your house on various websites.

Early in a person' s career, renting is advantageous because renting offers: the ability to host large parties. choice of different types of apartments. the ability to have pets. mobility.

mobility.

A ________________ deposit is usually one month's rent that is held by the landlord to cover the cost of any damages to the rented property.

security

Buying a house is the most expensive decision that most people will ever make. True False

True

Even if you do not use a real estate agent to sell your home, you should use an attorney or title company to close the transaction. True False

True

Location is considered the most important factor when buying a home. True False

True

The most common sources for a down payment include all of the following except: sale of investments. personal savings. checking account funds. assistance from relatives.

checking account funds.

Select all that apply The advantages of owning a home include: personalized living location stability of residence tax benefits mobility----easy to move minimal financial commitment

personalized living location stability of residence tax benefits

Select all that apply When purchasing a home, the buyer (not the seller) can expect to pay closing costs such as: settlement fee. real estate commission. appraisal fee. title search fee.

settlement fee appraisal fee title search fee

Select all that apply What are some of the disadvantages of home ownership? Higher living expenses than renting Significant financial commitment Lower maintenance than renting an apartment Limited mobility when compared to renting no property taxes

Higher living expenses than renting Significant financial commitment Limited mobility when compared to renting

Buying a ___________ is the most expensive decision that most people will ever make.

house

You can sell your home on your own but you must be prepared to: lose several thousands of dollars in commission. invest your time and effort. show your home without appointment. act as your own attorney.

invest your time and effort.

Select all that apply Common sources of down payment funds to purchase a home include: the sale of investments personal savings assistance from relatives a loan from a bank

the sale of investments personal savings assistance from relatives

Making needed repairs, painting the interior and exterior of the home, and cleaning all rooms are strategies that can lead to a fast and financially favorable sale. True False

True

Your ______, needs, desires, and attitudes are reflected in your choice of a home. A. title B. job C. lifestyle

C. lifestyle

Which of the following is NOT included among closing or settlement costs? One of these is incurred at the beginning of the process and not at the closing. Lender's origination fee Termite inspection Credit report Title insurance

Credit report