Real Estate Math

An Alaska property sold for $525,000. The buyer paid 3 points on a $420,000 loan. How much did the buyer pay in points?

A$10,500
B$12,600✓ Correct
C$15,750
D$42,000

Explanation

Points = $420,000 × 3% = $12,600. Using the values given ($525,000, $420,000), apply the appropriate formula.. The correct answer is $12,600.. This is a common calculation on the Alaska real estate exam.

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