Florida Real Estate 20 Math, Explained
Questions with Accurate Answers
A man can borrow $203,000 to purchase a house, and this is 3.5 times his salary. What
is his annual salary? - ANSWERSb, 203,.5 = 58,000
What is the gross rent multiplier of a property that sold for $600,000 and rents for
$60,000 annually? - ANSWERSa , Gross rent multiplier formula is sales price / monthly
rent. This problem gives us annual rent. We must first divide the 60,000 by 12 to get the
monthly rent. 60, = 5,000. Then we use the formula: 600,,000 = 120
A buyer has applied for a loan. The purchase price of the property is $650,000. If the
borrower has $250,000 for a down payment, what will the loan to value ratio be? -
ANSWERSa, Loan to value formula is: Loan / Value
In this problem the value is 650,000. The loan is what the person is borrowing. If they
have 250,000 then they only need to borrow 400,000. Then use the formula: 400,000 /
650,000 = 61.5%
A parcel of land sold for $900,000 based on a rate of $2.50 per square feet. How many
square feet did it contain? - ANSWERSa, 900,.50 = 360,000
A building is 5 stories high and each floor is 100x20. If you wanted to put bins in all this
space but couldn't use 25% of each floor, how many bins could you put in if each bin
was 10x10? - ANSWERSb, 100 x 20 = 2,000
2,000 x 5 = 10,000
10,000 x .75 (this is the amount of space you CAN use) = 7,500
7, (each bin is 10 x 10) = 75
What is the tax levy for a house that was assessed at $485,000 with a millage rate of
21.4 mills? - ANSWERSb, 485,000 x .0214 = 10,379
A woman owed the NW1/2 of the NW1/2 of the S1/2 of a section. What would she own
if she sold N1/2 of it? - ANSWERSa, / 2/ 2 = 80 Acres
= 40
If a lot frontage is 250 feet, street paving costs are $20.00 per running foot, and the city
will pay 40% of the paving costs, what will be the assessment to the property owner? -
ANSWERSa, 250 x 20.00 = 5,000
5,000 x .60 (this is how much the homeowner pays) = 3,000
3, = 1,500
A property is rectangular and measures 500' by 620' lineal feet. How many acres does it
contain? - ANSWERSb, 500 x 620 = 310,000
Questions with Accurate Answers
A man can borrow $203,000 to purchase a house, and this is 3.5 times his salary. What
is his annual salary? - ANSWERSb, 203,.5 = 58,000
What is the gross rent multiplier of a property that sold for $600,000 and rents for
$60,000 annually? - ANSWERSa , Gross rent multiplier formula is sales price / monthly
rent. This problem gives us annual rent. We must first divide the 60,000 by 12 to get the
monthly rent. 60, = 5,000. Then we use the formula: 600,,000 = 120
A buyer has applied for a loan. The purchase price of the property is $650,000. If the
borrower has $250,000 for a down payment, what will the loan to value ratio be? -
ANSWERSa, Loan to value formula is: Loan / Value
In this problem the value is 650,000. The loan is what the person is borrowing. If they
have 250,000 then they only need to borrow 400,000. Then use the formula: 400,000 /
650,000 = 61.5%
A parcel of land sold for $900,000 based on a rate of $2.50 per square feet. How many
square feet did it contain? - ANSWERSa, 900,.50 = 360,000
A building is 5 stories high and each floor is 100x20. If you wanted to put bins in all this
space but couldn't use 25% of each floor, how many bins could you put in if each bin
was 10x10? - ANSWERSb, 100 x 20 = 2,000
2,000 x 5 = 10,000
10,000 x .75 (this is the amount of space you CAN use) = 7,500
7, (each bin is 10 x 10) = 75
What is the tax levy for a house that was assessed at $485,000 with a millage rate of
21.4 mills? - ANSWERSb, 485,000 x .0214 = 10,379
A woman owed the NW1/2 of the NW1/2 of the S1/2 of a section. What would she own
if she sold N1/2 of it? - ANSWERSa, / 2/ 2 = 80 Acres
= 40
If a lot frontage is 250 feet, street paving costs are $20.00 per running foot, and the city
will pay 40% of the paving costs, what will be the assessment to the property owner? -
ANSWERSa, 250 x 20.00 = 5,000
5,000 x .60 (this is how much the homeowner pays) = 3,000
3, = 1,500
A property is rectangular and measures 500' by 620' lineal feet. How many acres does it
contain? - ANSWERSb, 500 x 620 = 310,000
