Answer Key

Mortgage – New Vocabulary Practice

Fill in the missing words. Choose one of the words below. Sometimes you need to put them in the right form.
  • SUBPRIME
  •  
  • FORECLOSED
  •  
  • INTEREST
  •  
  • FRAUD
  •  
  • ADDITION
  •  
  • EQUITY
  •  
  • WISELY
  •  
  • BET
  • ACCURACY
  •  
  • SKYROCKETED
  1. In  [addition] to high interest rates, the prices for homes dropped dramatically. 
  2. We need to act  [wisely] . We should not make too many mistakes. 
  3. A homeowner's  [equity] is the difference between the market value of their house and the amount of mortgage debt it is carrying. 
  4.  [subprime] borrowers were the people who got a mortgage although they were not ready for it. 
  5. Madoff's  [fraud] has apparently shook the world. It was the world's biggest financial fraud to date. 
  6. As a result, home prices  [skyrocketed] and many people made a lot of money. 
  7. Compared to 2004,  [interest] rates were very low. 
  8. If something seems like a sure  [bet] , it means you will probably win. 
  9. We need to check the report for  [accuracy] . 
  10. Finally, the bank  [foreclosed] on their house in Dallas.