Fannie Mae Foundation: How to Buy a Home

Oral practice — in pairs
Divide the class into pairs for this information gap activity. Partner A should look at Mortgage Rate Chart A while Partner B looks at Mortgage Rate Chart B. They must ask each other questions to fill in the missing information on their charts. You may want to put a barrier between the two partners so that each cannot see the other’s mortgage chart. Ask them to follow the example when asking their questions.

Note: Learners may have difficulty reading percentages written as fractions and decimals. Provide time for practice before assigning this activity.

Unit 3 : Lesson 2: How to shop for a loan

Oral practice — in pairs

Partner A: Look at Mortgage Rate Chart A. Your partner should be looking at Mortgage Rate Chart B on the next page. Ask your partner questions to fill in blanks on chart A. Your partner will have the information you need in his or her chart. Do not look at your partner’s book.

Example: What are the rates on the 30-year fixed-rate mortgage at Hometown Bank?

Mortgage Rate Chart A

Lender	Terms	Interest Rate	Points
Hometown Bank	30-year fixed	______________	______________
	15-year fixed	______________	______________
	1-year adjustable	______________	______________

Pacific Mortgages	30-year fixed	8%	3
	15-year fixed	7 1/4%	2 3/4
	1-year adjustable	5 3/4%	3

R. Smith Mortgages	30-year fixed	______________	______________
	15-year fixed	______________	______________
	1-year adjustable	______________	______________

Central First	30-year fixed	8%	2 7/8
	15-year fixed	7 1/2%	2 5/8
	1-year adjustable	6 3/4%	3

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