Real Estate Math

An Idaho property sold for $425,000. The buyer obtained a $340,000 loan. What was the down payment as a percentage of the sale price?

A15%
B20%✓ Correct
C25%
D30%

Explanation

Down payment = $425,000 − $340,000 = $85,000. Percentage = $85,000 ÷ $425,000 = 0.20 = 20%. Using the values given ($425,000, $340,000), apply the appropriate formula.. The correct answer is 20%.. This is a common calculation on the Idaho real estate exam.

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