Ida moves to New York from Poland and wants to live in an apartment. However, she does not have sufficient money to buy one. Her colleague Henry said Ida can live in his old apartment for a year, if she pays him $25,000. This contract would be considered a(n) ________.
A) lease
B) mortgage
C) installment
D) easement

Question

Quizplus · Accepted Answer

A lease is a legal contract between the tenant and the landlord, in which the tenant agrees to pay rent for the use of the landlord's property. In this scenario, the agreement between Ida and Henry is a form of a lease, as Ida will be paying Henry for the right to live in his apartment for a specified period of time. A mortgage is a loan used to buy property, an installment is a payment plan for a loan, and an easement is a right to use someone else's property for a specific purpose. None of these terms apply to this scenario.

Ida Moves to New York from Poland and Wants to Live