Real Estate Exam Math Portion, Real Estate Math Practice Problems

Real Estate Exam (Math Portion), Real Estate Math Practice Problems Flashcards To solve an investment problem, you would use the formula profit-------------------amount x rate ofinvested return $1,314Two brokers split the 6 percent commission equally on a $146,000 home. The selling sales person, Joe, was paid 70 percent of his broker's share. The listing salesperson, Janice, was paid 30 percent of her broker's share. How much did Janice receive.$947.63A home is valued at $95,000. Property in its area is assessed at 35 percent of its value, and the local tax rate is $2.85 per $100. What is the amount of annual tax paid on the home?The rate of return (R) isthe percentage that the investor makes or wants to make The rate of capitalization (R) isthe percentage used for the rate of return that an investor obtain or desires to obtain by buying and owning the income producing property

$11,300A homeowner incurs the following expenses: (1)$9,500 in

interest on a mortgage loan on his residence; (2) $800 in real estate taxes plus a $450 late payment penalty; and (3)a $1,000 loan origination fee paid in the course of purchasing his home. How much may be deducted from his gross income?$10,080A real estate company had adopted a 100 percent commission plan. The monthly desk rent required of sales associates is $900, payable on the last day of the month. In August, a sales associate closed an $89,500 sale with 6 percent commission and a $125,000 sale with 5.5 percent commission. The salesperson's additional expenses for the month were $1,265. How much of her total monthly income did the salesperson keep?$1,477What is the annual real estate tax on a property that is valued at $135,000 and assessed for tax purposes at $47,250 with an equalization factor of 125 percent, when the tax rate is 25 mills?$51,000An owner agrees to list his property on the condition that he will receive at least $47,300 after paying a 5 percent broker's commission and paying $1,150 in closing costs. At whit price must it sell?$18,000A buyer of a $100,000 home has paid $12,000 as earnest money and has a loan commitment of 70 percent of the purchase price. How much more cash did the buyer need

to bring to the closing, provided the buyer has no closing costs.

2.92 acresA parcel of land is 400ft by 640ft. the parcel is cut in half diagonally by a stream. How many acres are there in each

half of the parcel?

$1,887.13On the sale of any property, a salesperson's compensation is based on the total commission paid to the broker. The salesperson receives 30 percent of the first $2,500, 15 percent of any amount between $2,500 and 7,500 and 5 percent of any amount exceeding $7,500. If a property sells for $234,500 and the broker's commission rate is 6.5 percent, what is the salesperson's total compensation?$5,000A small multifamily property generates $50,000 in rental income with expenses of $45,000 annually, including $35,000 in debt service. The property appreciates about $25,000 a year. On this property the cash flow is 10,626.63 sq ftFind the number of square feet in a lot with a frontage of 75 feet, 6 inches, and a depth of 140 feet, 9 inches.A parcel of vacant land 80 feet wide and 200 feet deep was sold for $200 per front foot. How much money would a salesperson receive for her 60% share in the 10% commission?$960 $1,890A specific parcel of real estate has a market value of $180,000 and is assessed for tax purposes at 35 percent of market value. The tax rate for the county in which the property is located is 30 mills. The annual tax bill will be?$270,000A commercial lease calls for a minimum rate of $1,200 per month plus 4 percent of the annual gross business exceeding $150,000. If the total rent paid at the end of one year was $19,200, how much business did the tenant do during the year?$20,000The selling price of a fourplex was $240,000. The building is currently five years old and has an estimated useful life of 60 years. What is the property's total depreciation to date?Rate of interest (R) isthe percentage of a loan paid as interest in a year In a price problem, after you have subtracted the percentage from 100%, you convert that percent to a decimal $111,600A listing agreement is signed with a broker to sell a residential property. The agreement states that the broker will receive a 7 percent commission. The home sells for $120,000. What is the net amount that the seller will receive after the broker's commission is paid?For a cost problem (CAPS), you first add the percent that the price has increased to 100% 82A property contains ten acres. How many 50 foot by 100 foot lots could be subdivided from the property if 26,000 square feet were dedicated for roads.In order to solve a value problem, you would use the formula income----------------------rate of x value ofcapitalization property*make sure to determine the annual net income