Presentation on theme: "1 Personal Finance 6.03 Understand options and practices for meeting housing needs."— Presentation transcript:
1 Personal Finance 6.03 Understand options and practices for meeting housing needs.
2 Essential Questions What are the options for meeting housing needs? What are advantages/disadvantages of renting and things to look for before signing a lease? What are advantages/disadvantages of buying and procedures in buying a home?
3 Review Info Renting a Place to Live Buying a Home –Handouts Available!
4 My Dream Home — Journal Entry You have just landed your first real job in an area where you have always wanted to live. Think about the type of housing you will need, then think about things you would like to have, but could live without. Use the Internet and locate three types of housing that fit your needs and, hopefully, some of your wants as well. Create in Word - Print
5 Intro The four major expenditure areas for individuals and families include housing, transportation, insurance and food. Of these four, housing is the largest. There are many housing options to choose from, starting with the decision to rent or buy. 90% of households headed by persons younger than 25 years old rent their homes.
6 How to Locate a Living Space Handout Available
7 Needs and Wants Amenities include heat, electricity, garbage, water and other features like Internet and telephone. A landlord is a person who owns the rental unit. A tenant, or renter, is the one who rents the property.
8 Determining Housing Costs Spending plan is a financial statement individuals use to assist in money management and aids in tracking income and expenses. Rent is a payment made in exchange for occupying another’s land or property. A property manager is a person who works for the owner in regards to finding and screening tenants, collects rent, maintains and secures the property, and responds to tenants’ needs.
9 Determining Housing Costs A security deposit is money paid in advance of moving into a living space to the landlord to be used for repairs and damages beyond normal wear and tear.
10 Housing Options Houses– Single housing units usually surrounded by a yard and varying in size Apartments– Sets of rooms on one floor of a building used as separate residence spaces Studio apartments– Usually one room with a separate space for the kitchen and bathroom Mobile homes– A manufactured home that is capable of being moved from one location to another
11 Housing Options Condominiums– A single apartment in a multiple housing structure that can contain multiple stories, garages, yards, and other amenities Duplexes– Two apartments that are like two separate houses situated side by side Rooms– Private rooms located within another structure such as a house, hotel, or other facility Residence halls– Usually located on a college or university campuses, include shared or single rooms and are usually available for school terms only to attending students
12 Locating a Living Space Friends and family members– If in the area you wish to inhabit Newspaper classifieds– Obtain these as soon as possible from the newspaper. An individual has increased opportunities and chances to get the living space they want when the respond quickly to these ads Bulletin boards– Many home owners and property managers post listings this way Internet– Great way to start a search from a distant location, many large cities have search sites
13 Locating a Living Space Yellow pages– Search under “Apartment Rentals” and call apartment management or property management offices Local Chamber of Commerce– A valuable resource when relocating Rental agencies/real estate agencies– Hold postings for rentals In front of the living space– Owners often post a sign when spaces are available
14 Reading an Ad for a Living Space BR– Bedroom BA–Bathroom W/D–Washer/Dryer (there may be machines or hookups) DW–Dishwasher NS– No Smoking NP– No pets (may be negotiable-you may pay more) F/P– Fireplace AC– Air conditioner W/S/G– Water, Sewer, and Garbage
36 Journal Entry Case Study: Mr. and Mrs. Brown have one child, a five-year-old boy. They are expecting another child, a girl, in three months. Mr. Brown has taken a new job in another state. He will be in a position to entertain at home, and likes to jog in the afternoons and on weekends. Mrs. Brown runs a small craft business from her home that she wishes to continue. They have two cars and need space for the five- year-old to play. They want to live in an area close to schools and, possibly, a park or recreation area. What type of housing would fit their NEEDS and WANTS?
37 Activity Complete –How to Locate a Living Space –Terms Involved in Renting Class –Reading Living Space Advertisements