Mortgages

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Question: How Much Debt Do Consumers Have?

A great opener to your Types of Credit unit. Start by asking your students to rank from largest to smallest the various types of consumer debt:

  • Credit Cards
  • Mortgages
  • Auto Loans
  • Student Loans

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Answer and visual below (from Visual Capitalist and Equifax): $12.4 trillion (as of August 2016)

Chart: How Do Debt Levels Differ By Age?

Here’s a meaty set of charts to include in your Types of Credit unit. I love it because it provides a more holistic view of the various types of debt that consumers have and how their balances vary over an adult’s life:

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Hat tip to Sarah Tavel of Greylock Partners who included this chart in her excellent presentation “Saving people money.”

First, some orientation is in order.

Chart: What’s the Cost of Having A Low Credit Score?

Answer: Tens of thousands of dollars when looking at long-term loans like mortgages.

Great chart recently released by myfico.com (hat tip Motley Fool) demonstrates how current interest rates on mortgages vary based on credit scores:

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Here’s a quick mini-activity for students to see how much a low credit score could cost them:

Question: What’s the Biggest Source Of Financial Stress (by State)?

Here are the choices:

  • Paying my mortgage or rent
  • Lack of stable income
  • Paying for education
  • Not being able to retire
  • Not having enough money to fund an emergency
  • Wanting a nicer lifestyle
  • Paying off my debt

Envelope please…

Chart: What Percentage of U.S. Households Own A Home?

Answer: You have to go back to 1965 to find home ownership rates equal to today’s rate of 63%.

homeownership

Questions for your students:

Are Farms and Homes A Good Investment Opportunity?

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Answer: Not so much.

From Nobel Prize winner Robert Shiller at New York Times:

Let’s Get Serious (or Not): Cartoons To Consider

Ran across a few cartoons that you might bring some levity to the classroom or amplify a key point.

From Barrons:

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Why did I select it?

NGPF Podcast: Tim Talks To Brian Yanizeski of Fox Chapel Area HS (PA) About Online Learning

I recently had the pleasure of having Brian Yanizeski, a Business Teacher from Fox Chapel Area High School in Pittsburgh, Pennsylvania, on the show. We recently honored Brian as an NGPF Teacher-Innovator for his “Home Buying Project.” Brian has five years experience teaching an online Investing and Finance course at his high school. Listen to this podcast to hear Brian share how he developed his online course (including his favorite resources), as well as how he manages it to keep his students motivated to learn.

Here are some of the questions that Brian tackled in the course of our conversation: