Principles of Real Estate 2 Champions MATH
SECTION Questions and Answers with Complete
Solutions
A property has been depreciating at 3% a year for 6 years. Today it is
worth $144,238.00. What was the original cost of the property? -
ANSWER $175,900
1.) 3% x 6 = 18%
2.) 100% - 18% = 82%
3.) $144,%
A property was listed for $159,500 and sold for $157,000. The listing
agent had negotiated a 6% commission on the sale. What commission
was paid to the broker at the closing? - ANSWER $9,420
If the commission rate charged was 7% and the commission earned was
$11,410, at what price did the property sell? - ANSWER $163,000
Sales agent, John Simmons, earned $5458.75 as his half of a 5.5%
commission. What price did the property sell for? - ANSWER $198,500
, Mary, a sales agent for ABC Realty, earns 40% of her broker's share of a
commission on any property she sells. If Mary recently sold a property
at the price of $224,500 where the listing agent had negotiated a 6.5%
commission to be split equally between the listing and selling broker,
how much would Mary make? - ANSWER $2,918.50
Mary wishes to net $50,000 after selling her property. She has a
mortgage balance of $120,310 and must pay $5,000 in repairs and
other closing costs. She has agreed to pay the broker 6%. What is the
lowest price she can accept for her property? - ANSWER $186,500
175,310 / .94
A seller wants to net $25,000 after paying closing costs of $3,200 and a
loan balance of $66,800. He has agreed to pay a 5% commission on the
sale. At what price should he sell his property? - ANSWER $100,000
1.) 25,000 + 3,200 + 66,800 = 95,000
2.) 95,000 / .95 = $100,000
A property is assessed at $182,000 for property tax purposes. If the rate
is $2.00/100, what yearly amount is owed?
SECTION Questions and Answers with Complete
Solutions
A property has been depreciating at 3% a year for 6 years. Today it is
worth $144,238.00. What was the original cost of the property? -
ANSWER $175,900
1.) 3% x 6 = 18%
2.) 100% - 18% = 82%
3.) $144,%
A property was listed for $159,500 and sold for $157,000. The listing
agent had negotiated a 6% commission on the sale. What commission
was paid to the broker at the closing? - ANSWER $9,420
If the commission rate charged was 7% and the commission earned was
$11,410, at what price did the property sell? - ANSWER $163,000
Sales agent, John Simmons, earned $5458.75 as his half of a 5.5%
commission. What price did the property sell for? - ANSWER $198,500
, Mary, a sales agent for ABC Realty, earns 40% of her broker's share of a
commission on any property she sells. If Mary recently sold a property
at the price of $224,500 where the listing agent had negotiated a 6.5%
commission to be split equally between the listing and selling broker,
how much would Mary make? - ANSWER $2,918.50
Mary wishes to net $50,000 after selling her property. She has a
mortgage balance of $120,310 and must pay $5,000 in repairs and
other closing costs. She has agreed to pay the broker 6%. What is the
lowest price she can accept for her property? - ANSWER $186,500
175,310 / .94
A seller wants to net $25,000 after paying closing costs of $3,200 and a
loan balance of $66,800. He has agreed to pay a 5% commission on the
sale. At what price should he sell his property? - ANSWER $100,000
1.) 25,000 + 3,200 + 66,800 = 95,000
2.) 95,000 / .95 = $100,000
A property is assessed at $182,000 for property tax purposes. If the rate
is $2.00/100, what yearly amount is owed?
