Rentals, Condos, and Other Costs

Introduction

Buying a home is not the only choice you have for housing. Some choose to rent a house or an apartment and some may choose to buy a condominium. There are associated fees and monthly costs with each one of these options. In some cases, it may be more efficient to buy a house if you are able to come up with the down payment and then in other cases renting a house or apartment may have a smaller monthly payment. It’s good to consider all options before making a choice!

Maintenance Fees and House Utilities

It is recommended by the Federal Housing Administration (FHA) that your total monthly housing cost be less than 30% of your monthly net pay. This includes your mortgage payment, taxes, and insurance or your monthly rent along with expenses for utilities, maintenance, and home improvements. Utility costs may include charges for electricity, gas, water, telephone, and more. Click through the interactive activity, or read the transcript, to learn more about each housing scenario.

Click here to view the transcript of the above interactive activity.

Housing Costs Practice

Click on the arrows in the bottom right corner to move through the questions. Click on the SOLUTION button to see an explanation for each question,

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