A Newly Married Couple Is Having Trouble Affording a Home

question 60

Multiple Choice

A newly married couple is having trouble affording a home.What type of mortgage arrangement would reduce the monthly payment as a result of an interest rate subsidy from a builder or real estate developer?

• A)FHA-insured loan
• B)Balloon mortgage
• C)Buy-down
• D)Shared-appreciation mortgage
• E)Growing-equity mortgage

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Definitions:

Delaying Action

A strategy or tactic employed to postpone or slow down an activity, decision, or process, often to gain more time for preparation or strategic planning.

Socialized Power Motives

The drive to use power for the benefit or welfare of others or the community, rather than for personal gain.

Personalized Power Motives

This refers to an individual's drive to gain power mainly for personal gratification, authority over others, or to enhance their own status rather than for the collective good.

Emotionally Mature

Refers to individuals who have developed the ability to understand, manage, and appropriately express their emotions.