Choose a Home. Part 4. Giant House 5 bedrooms 4 bathrooms $2,500/month. House Boat. 1 bedrooms 1 bathrooms $1,050/month.

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1 ! Part 4 Choose a Home $500/month 5 bedrooms 4 bathrooms $2,500/month 1 bedrooms 1 bathrooms $1,050/month $200/month 10 bedrooms 7 bathrooms $20,000/month $3,400/month PerforminginEduca1on,LLC

2 ! Part 4 Choose a Home Your monthly housing payment + the utilities should not be more than 35% of your monthly income. Calculate your maximum budget for a house, and choose accordingly. Monthly Income $ x 0.35 = /month housing budget Apartment 3 floorplans to choose from! Apartment $120/month Bedrooms Bathrooms Cost 1 1 $ /month 2 1 $ /month 2 2 $ /month Small House 3 bedrooms 2 bathrooms Small House $300/month Large House 4 bedrooms 3 bathrooms PerforminginEduca1on,LLC Large House $370/month

3 ! Part 4 Choose a Home $500/month 5 bedrooms 4 bathrooms 1 bedrooms 1 bathrooms $200/month 10 bedrooms 7 bathrooms $ /month $3,400/month PerforminginEduca1on,LLC

4 Teacher Tips & Tricks Part 5 Before Beginning There are three different pages available for this part: one that has all of the information on each car ready to go, one that has gas & insurance cost included and a blank car payment space, and one that has all costs blank. You can choose one to do with your entire class, or use all 3 to differentiate. If you choose any with blank spaces, make sure you have a plan on how students will research the costs (see more information under the connections section). I recommend showing this video on how banks and loans work, to lead into the discussion points below: Discussion Points How is a car loan payment calculated? What is the difference between buying and leasing a car? What is interest? Why does it cost more to finance a car than to buy it in cash? Connections Technology & Research: Have students research the cost to finance their favorite cars. They can get pricing for a new car directly on the manufacturer s website, or search for used cars at dealerships in your area. They can then put the total price into an auto loan calculator to see what their monthly payment would be. Use one of the choose a vehicle pages with the blank payment space. You can also bring in the auto section of the newspaper if you don t have student devices.. This is my favorite loan calculator to use: To research gas & insurance costs, they can interview adults or use a variety of tools online. I like to have my students use Google Maps to find the distance between their house and a business they might work at with the career they chose, and then calculate the daily fuel cost using the estimated MPG for the vehicle. Here s a neat tool to use: Writing: Compare & contrast two types of vehicles, including the cost to own them and the features included. Science: If you can connect it to your standards, do a lesson on how an engine works. The burning of fuel in a vehicle is a chemical reaction, which is a part of many state s science standards. Process Students will calculate their maximum budget by multiplying their monthly income by 15% (0.15). They then have a choice of vehicles, but they need to keep the monthly payment under their max budget. If they want to go over the max budget, they will have to make up for it in other categories and be able to justify the choice. They will then add the loan payment, gas, and utilities in their budget spreadsheet and subtract to see how much they have left over. Recommended Time: minutes + optional research time PerforminginEduca1on,LLC

5 . Part 5 Choose a Vehicle Your monthly car payment + insurance + gas should not be more than 15% of your monthly income. Calculate your maximum budget for a car, and choose accordingly. Monthly Income $ x 0.15 = /month car budget Sports!Car $381/monthcar payment $150/monthinsurance $180/monthgas Pickup!Truck $300/monthcar payment $100/monthinsurance $200/monthgas Scooter $152/monthcar payment $65/monthinsurance $50/monthgas Other $ /monthcar payment $ /monthinsurance $ /monthgas Small!Car $224/monthcar payment $75/monthinsurance $120/monthgas PerforminginEduca1on,LLC

6 . Part 5 Choose a Vehicle Your monthly car payment + insurance + gas should not be more than 15% of your monthly income. Calculate your maximum budget for a car, and choose accordingly. Monthly Income $ x 0.15 = /month car budget Sports!Car $ /monthcar payment $150/monthinsurance $180/monthgas Pickup!Truck $ /monthcar payment $100/monthinsurance $200/monthgas Scooter $ /monthcar payment $65/monthinsurance $50/monthgas Other $ /monthcar payment $ /monthinsurance $ /monthgas Small!Car $ /monthcar payment $75/monthinsurance $120/monthgas PerforminginEduca1on,LLC