Real Estate Math

A Delaware seller pays off a $298,000 mortgage, pays 5.5% commission on a $465,000 sale, and pays $7,200 in other closing costs. What are the seller's net proceeds?

A$134,225✓ Correct
B$165,800
C$141,425
D$130,000

Explanation

Commission = $465,000 × 5.5% = $25,575. Net Proceeds = Sale Price − Mortgage − Commission − Other Costs = $465,000 − $298,000 − $25,575 − $7,200 = $134,225.

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