UNIT 7: CONSUMER SKILLS Section 4: Buying a House

I CAN  Apply the following to buying/renting a house:  Deed  Equity  Escrow/Earnest Money  Landlord  Lease  Security deposit  Tenant

Things Renter’s Should Know  Tenant/Landlord: a tenant rents the land/space/home from a landlord, who own the property  Renters pay a monthly amount, but also usually Security Deposit, which ensures they won’t cause damage  A Lease is the contract the tenant and landlord sign laying out the conditions of rental: how much $, when is $ due, late fees, damages, pets, rules, responsibilities, etc  Guest vs. Tenant: The LAW says you can kick a guest out any time, but if a person is paying rent, they are a tenant. They MUST be given 30 days notice to vacate the property.

Things Homeowner’s Should Know  Deed: This is similar to a car title. It proves you are the owner and is necessary to complete a sale  Equity: value of your house AFTER debts. If my house is valued (appraised) at $200,000, but I still owe $150,000, my equity is $50,000  Escrow/Earnest Money: Usually, people choose to have an escrow account that they pay with their mortgage payment, rather than paying each item individually. This usually includes homeowners insurance, property taxes, etc

CAN I?  Apply the following to buying/renting a house:  Deed  Equity  Escrow/Earnest Money  Landlord  Lease  Security deposit  Tenant I can prove this buy completing the “locating a home” portion of the performance packet. (The scoring Rubric can be found in the back of the performance packet)