Real Estate Math
A Delaware investment property costs $600,000. Financed with a $450,000 mortgage at 6.5% interest only. Annual NOI is $48,000. What is the before-tax cash flow?
A$18,750✓ Correct
B$48,000
C$29,250
D$0
Explanation
Annual interest-only payments = $450,000 × 6.5% = $29,250.
Related Delaware Real Estate Math Questions
- A Delaware property's land is valued at $80,000 and the improvements at $220,000. Using a 40-year economic life and 10 years of age, what is the straight-line depreciation for one year?
- What is the debt-to-income ratio for a Delaware borrower with $1,850 housing payment, $350 car payment, $250 student loan payment, and $6,500 gross monthly income?
- A Delaware property is listed at $289,000 and sells for $275,000. What percentage below list price did it sell for?
- Using straight-line depreciation over 27.5 years, what is the annual depreciation on a $275,000 residential rental building (excluding land)?
- A buyer puts 20% down on a $375,000 home and finances the rest. What is the loan amount?
- A Delaware property's assessed value is $195,000 and the annual property tax bill is $3,510. What is the effective tax rate as a percentage of assessed value?
- A buyer's monthly principal and interest payment is $1,450. Annual property taxes are $3,600 and homeowner's insurance is $1,200. What is the total monthly PITI payment?
- A Delaware property has a potential gross income of $72,000, a vacancy rate of 5%, and annual operating expenses of $28,000. What is the net operating income (NOI)?
Practice More Delaware Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Delaware Quiz →