Real Estate Math

A home was appraised at $310,000 and the buyer is obtaining an 80% LTV loan. What is the down payment?

A$62,000✓ Correct
B$56,000
C$68,200
D$52,000

Explanation

Loan amount = $310,000 × 80% = $248,000. Down payment = $310,000 − $248,000 = $62,000. To solve this, multiply the relevant values: $310,000 at 80%.. The correct answer is $62,000.. This is a common calculation on the Indiana real estate exam.

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