Real Estate Math

A Hawaii property is worth $900,000. The owner has a $540,000 mortgage. What is their equity percentage?

AA. 40%✓ Correct
BB. 50%
CC. 60%
DD. 70%

Explanation

Equity = $900,000 - $540,000 = $360,000. Equity % = $360,000 / $900,000 = 40%.

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