You are ready to purchase your first home. You have been looking at 3 properties; 1) a single family house; 2) a condominium and 3) a coop. They are all in the price range of $250,000. You are to do the following:
- Explain the differences between these three types of properties. Give a full description of how ownership is structured including how the future maintenance and upgrades on these properties are covered.
- List the other expenses you will need to consider for each property type. Explain how property taxes are covered.
- Assuming you need a 20% down payment, how much will you need for the down payment. Find what the current interest rates are for a 30 year mortgage. You can find those rates on the Bankrate website https://www.bankrate.com/mortgages/
- What are the other important considerations you should consider when you have decided to buy a residential property.
Sample Solution
