Problem
i. Identify three ways that home buyers can save on their income taxes.
ii. If you make a down payment that is lower than standard, identify the extra cost you will be required to pay.
iii. Why do lenders use points in home loans, and who is responsible for paying points?
iv. Identify the components of PITI.
v. Distinguish between a conventional mortgage loan and an adjustable-rate loan.
vi. Specify one advantage and one disadvantage of an interest-only mortgage loan.