Cultural Beliefs
Many people assume that this housing choice is always the better financial decision.
What is … owning?
This is a secured loan that is used to purchase real estate where the property acts as collateral.
What is … a mortgage.
This fee is typically paid when buying or selling a home.
What is … a real estate agent fee?
This is the biggest advantage of renting (especially for young professionals).
What is … flexibility?
The city that most people here plan to move to after graduation.
What is … New York City?
This industry benefits from encouraging people to buy rather than rent.
What is … the real estate industry?
This is the portion of a home’s value that the owner actually owns.
What is … equity?
This is the cost of borrowing money through a mortgage.
What is ... interest?
Renters are not responsible for paying for these home-related issues.
What are … maintenance and repairs?
This factor makes buying property unrealistic right after graduating.
What is … affordability?
Homeownership is often associated with achieving this cultural ideal in the U.S.
What is … the American Dream
This occurs when a home increases in value over time.
What is … appreciation?
This financial concept refers to money lost by not investing elsewhere.
What is … opportunity cost?
Renting can often be financially better within this approximate time frame.
What is … less than 12 years?
This is an aspect of NYC apartments that can be especially difficult to find … and makes a weekly chore much easier.
What is … in unit washer/dryer?
People often connect homeownership with having this kind of future.
What is ... security
In the long-term, homeownership is generally better for building this.
What is … wealth accumulation?
This major risk occurs if a homeowner cannot keep up with mortgage payments.
What is … foreclosure?
This advantage allows renters to potentially invest money instead of tying it up in a home.
What is … greater liquidity?
This is a characteristic of NYC apartments that people look for for added safety.
What is ... a doorman?
People associate owning a home with having more of this over their life.
What is… independence?
This is the upfront percentage of a home’s purchase price paid in cash by the buyer.
What is … a down payment?
This ongoing cost is based on your home’s assessed value and is paid annually to local governments.
What is … property tax?
Individuals who rent are better protected from …
What is … housing market risk/downturn?
This is the average rent for a 2 bedroom apartment in Manhattan?
What is … $5,500?