Real Estate Math

A lot has a frontage of 75 feet on the street. The standard lot depth in the subdivision is 125 feet. The lot sells for $62,500. What is the price per square foot?

A$5.00
B$6.67✓ Correct
C$6.25
D$8.33

Explanation

Lot area = 75 × 125 = 9,375 sq ft. Price per sq ft = $62,500 ÷ 9,375 = $6.67. Using the values given ($62,500), apply the appropriate formula.. The correct answer is $6.67.. This is a common calculation on the Arizona real estate exam.

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