Real Estate Math

A property sells for $350,000. The buyer makes a 20% down payment. What is the loan amount?

A$70,000
B$210,000
C$280,000✓ Correct
D$315,000

Explanation

Down payment = $350,000 × 20% = $70,000. Loan amount = $350,000 − $70,000 = $280,000. A 20% down payment eliminates the need for PMI on a conventional loan.

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