Step :
Know When You’re Ready to Buy
Test Your Knowledge: Know When You’re Ready
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Test your Knowledge
What is not a benefit of buying a home?
Excellent job!
Incorrect
Building equity, potential for home appreciation and possible tax incentives are all benefits of buying a home. Buying a home is typically a long-term commitment as opposed to rent, which is usually a short-term commitment.
2 of 3
Test your Knowledge
Your down payment could be as low as _% of the home price?
Excellent job!
Incorrect
Depending on the mortgage options your lender has available and your risk profile, your down payment could be as low as 3% of the home price.
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Test your Knowledge
What does your credit score help lenders determine?Check all that apply.
Great!
Not Quite.
Because a credit score can be an indicator of financial health, it’s used as a tool for lenders to determine if they’ll lend you the money, the amount of money they will lend, and the interest rate, but it does not impact how much your down payment should be.