A Colorado property with a market value of $600,000 is assessed at the residential rate of 7.15% of actual value. With a mill levy of 75 mills, what is the annual property tax?
Why $3,218 Is Correct
Answer B: $3,218
Exam Tip: Real Estate Math
Math questions are formula-based. Memorize the key formulas: commission splits, proration, cap rate (NOI ÷ Value), GRM (Price ÷ Gross Rent), and LTV (Loan ÷ Value). Practice converting between annual and monthly figures.
People Also Study
Related Colorado Questions
- A Colorado home is assessed at 7.15% of its actual value. The actual value is $400,000 and the mill levy is 85 mills. What is the annual property tax?Real Estate Math
- Under Colorado property tax assessment, residential properties are assessed at what percentage of actual (market) value?Property Valuation
- A Colorado property assessed at $35,000 with a mill levy of 92 mills. What is the annual property tax?Real Estate Math
- A Colorado home has a market value of $500,000. The residential assessment rate is 7.15%. What is the assessed value?Real Estate Math
- A Colorado homeowner's property was assessed at $42,000 with a mill levy of 78.5 mills. What is the annual property tax owed?Real Estate Math
- A Colorado home has a market value of $450,000. The residential assessment ratio is 7.15%. What is the assessed value?Property Valuation
- A Colorado investment property generates an annual NOI of $45,000 and comparable properties are selling at a 6% cap rate. What is the indicated value?Property Valuation
- A Colorado appraiser uses the 'Income Capitalization' approach on a commercial property. The NOI is $85,000 and the market cap rate is 6.5%. What is the value?Property Valuation
Key Terms to Know
A professional estimate of a property's market value prepared by a licensed or certified appraiser.
Capitalization Rate (Cap Rate)A rate used to estimate the value of income-producing property, calculated as Net Operating Income divided by property value.
Comparable Sales (Comps)Recently sold properties similar in size, condition, and location used by appraisers and agents to estimate a property's market value.
AmortizationThe gradual repayment of a loan through scheduled periodic payments that cover both principal and interest.
Math Concepts
Study This Topic
Practice More Colorado Real Estate Questions
1,400+ questions covering all exam topics. Start free — no signup required.
Take the Free Colorado Quiz →