Real Estate Math
An Iowa buyer's gross annual income is $72,000. Using a 28% front-end ratio, what is the maximum annual housing expense?
A$18,000
B$20,160✓ Correct
C$24,000
D$28,000
Explanation
Maximum annual housing expense = $72,000 × 0.28 = $20,160.
Related Iowa Real Estate Math Questions
- An Iowa commercial property has potential gross income of $120,000, a 7% vacancy rate, and operating expenses of $55,000. What is the NOI?
- An Iowa farmland parcel sold for $7,800 per acre. The parcel is the E1/2 of the NW1/4 of a section. What is the total sale price?
- An Iowa home is listed at $268,000 and sells for $261,500. What is the sale-to-list price ratio?
- An Iowa commercial property has annual gross rents of $60,000, a vacancy rate of 5%, and operating expenses of $20,000. What is the net operating income?
- An Iowa property owner receives a tax bill for $5,460. The mill rate is 28. What is the assessed value?
- A rectangular Iowa farmland parcel measures 1/4 mile by 1/2 mile. How many acres does it contain?
- An Iowa property sells for $220,000. The transfer tax rate is $1.60 per $1,000 of sale price. What is the transfer tax?
- An Iowa seller lists a property at $299,000. After 60 days with no offers, they reduce the price by 5%. What is the new list price?
Practice More Iowa Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Iowa Quiz →