Buying a House Project

The down payment is....

• The amount of money you borrow from the bank

• The amount of money you pay up front in cash to buy a house

• The interest rate

The principal is....

• the amount of money you borrow from the bank

• The amount of money you pay up front in cash

• The interest rate

Banks charge interest when you borrow money because....

• They want to make money

• They hate their customers

• They are scam artists

The down payment is _____% of the purchase price.

• 20

• 80

• 8

• 6

The principal can be found by subtracting....

• Purchase price - down payment

• Down payment - purchase price

• Interest rate - purchase price

• Purchase price - number of months

In Ms. Gallagher's first year of teaching she made $44,500. How much money did she make per month?

• About $3708

• About $534,400

• About $4,450

• About $4000

Ms. Stringfield found a house that costs $350,000. What would the down payment be on this house?

• $70,000

• $280,000

• $1,750,000

• $80,000

Ms. Stringfield found a house that costs $350,000. If she pays 20% for the down payment. How much is the principal?

• $280,000

• $70,000

• $1,750,000

• $80,000

Mr. Honablew's monthly mortgage payment is $2,000. How much money will he pay back the bank over the course of 30 years?

• $720,000

• $60,000

• $24,000

• $600,000

Mr. Schreiber wants to be an Engineer. If his annual salary as an Engineer is $120,000 per year, how much money can he afford to spend on housing per month? (assume he is budgeting 30% of his monthly salary for housing)

• $3,000

• $10,000

• $7,000

• $5,000