Real Estate Math

A Connecticut property was appraised at $610,000. The buyer puts 15% down and obtains a mortgage for the balance. What is the loan amount?

A$488,000
B$518,500✓ Correct
C$525,000
D$548,400

Explanation

Down payment = $610,000 × 0.15 = $91,500. Loan amount = $610,000 − $91,500 = $518,500. To solve this, multiply the relevant values: $610,000 at 15%.. The correct answer is $518,500.. This is a common calculation on the Connecticut real estate exam.

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