Real Estate Math
A house rents for $1,800/month. Using a GRM of 130, what is the estimated value of the property?
A$216,000
B$234,000✓ Correct
C$270,000
D$396,000
Explanation
Value = Monthly Rent × GRM = $1,800 × 130 = $234,000. Using the values given ($1,800), apply the appropriate formula.. The correct answer is $234,000.. This is a common calculation on the Georgia real estate exam.
Related Georgia Real Estate Math Questions
- A monthly rent of $1,800 is being raised by 3%. What is the new monthly rent?
- A buyer assumes an existing mortgage with a balance of $180,000 at closing. The seller originally borrowed $200,000. The buyer will be responsible for what amount in addition to the down payment?
- A Georgia property is listed at $389,000. After 60 days with no offers, the seller reduces the price by 4%. What is the new listing price?
- A property sells for $520,000. The seller pays a 5.5% commission. How much does the seller net before other closing costs?
- A property was purchased for $325,000. It appreciated at 4% per year for 3 years. What is the current value?
- A property is sold using a 1031 exchange. The relinquished property sold for $800,000 with a cost basis of $300,000. The replacement property costs $950,000. How much capital gain is deferred?
- A seller accepts an offer of $389,000. The listing agent's brokerage and selling agent's brokerage each receive 3% of the sale price. How much does each brokerage receive?
- A property is appraised at $350,000 using the cost approach: land = $75,000, replacement cost new = $350,000, total depreciation = $75,000. What is the indicated value?
Practice More Georgia Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Georgia Quiz →