Home Buying Essentials Quiz 1-3 Sections

What are upfront costs in the context of purchasing a home?

• Initial expenses like down payment and closing costs

• Recurring costs like mortgage payments

• Costs associated with home renovation

• Monthly utility bills

Which of the following is considered an ongoing expense for homeowners?

• Mortgage payments

• Closing costs

• Home inspection fees

• Down payment

What is a budget in the context of home buying?

• A financial plan estimating income and expenses

• A contract with a real estate agent

• A list of desired home features

• A document required for mortgage approval

What does pre-approval from a lender signify?

• The buyer has completed a home inspection

• The buyer has signed a contract with a real estate agent

• The buyer's financial information has been evaluated

• The buyer has purchased a home

Who is a real estate agent?

• A licensed professional assisting in real estate transactions

• A professional who evaluates property value

• A person who provides home loans

• A contractor who repairs homes

What is the purpose of a home inspection?

• To finalize the purchase of a home

• To assess a property's condition before purchase

• To determine the market value of a home

• To negotiate the price of a home

What are closing costs?

• Fees associated with finalizing a home purchase

• Fees for listing a property

• Costs for home insurance

• Expenses for home maintenance

What is a mortgage?

• A type of home insurance

• A loan used to purchase real estate

• A payment for home maintenance

• A fee for property appraisal

How is equity in a property defined?

• The initial down payment on a home

• The amount paid in property taxes

• The difference between market value and mortgage owed

• The total cost of purchasing a home

What is a down payment?

• A fee for property appraisal

• A cost for home insurance

• A recurring monthly expense

• An initial payment made when purchasing a home