Money WondersPlay

Real EstateMortgages

What a Home Really Costs

The price tag versus everything you pay

A $400,000 house. By the last payment, how much will its buyer really have paid? Guess before you look.

You'll find out

  • The total behind a price tag
  • What one rate point costs
  • The number printed on every loan form

Why it matters

Houses are sold by the monthly payment. The lifetime total is what they cost, and it's never the number on the sign.

About 3 min6 interactive slides · 5 questionsLesson 113 · Zone 13

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  5. 114Home EquityDown Payments and EquityThe part of the house that's really yours
  6. 115HousingRenting Is Throwing Money AwayOwners have money they never get back too
  7. 116OwnershipThe Landlord's GameLizzie Magie invented the game that became Monopoly, to show how owning land pulls in everyone's rent, and was paid $500
  8. 117Rental PropertyGetting Paid by a BuildingHow rental income works