Question

Which budgeting questions should Sara ask when deciding whether to rent or buy a house? Check all that apply.

Answer 1

Sara should ask about the price of the monthly rent and the amount of security deposit that is needed. She should also ask about what utilities are included in the price of the rent payment.

Answer 2

The budgeting questions are:

- Can she handle the true cost of homeownership?
- Does she plan to live in that place for the long haul (if not, renting is a wiser option for Sara)
- Would it make sense to invest her money elsewhere? (if sara choose to rent rather than buying, she could invest her money on stocks or bonds)
- Is she ready for responsibilities of home ownership? (because on top of the buying price, she had to handle various legal matters and utility bills)