Property Valuation
An Iowa property sold for $380,000. The selling expenses were $25,000. The cost basis was $295,000. What is the capital gain?
A$55,000
B$60,000✓ Correct
C$65,000
D$85,000
Explanation
Net sale price = $380,000 − $25,000 = $355,000. Capital gain = $355,000 − $295,000 = $60,000. Using the values given ($380,000, $25,000), apply the appropriate formula.. The correct answer is $60,000.. This is a common calculation on the Iowa real estate exam.
Related Iowa Property Valuation Questions
- Iowa assessors use mass appraisal to value properties. The primary advantage of mass appraisal is:
- Gross Rent Multiplier (GRM) is calculated by:
- External (economic) obsolescence as a form of depreciation is BEST described as:
- In Iowa, which value concept do property tax assessors use?
- An Iowa property's effective age differs from its actual age because:
- Assemblage in Iowa real estate refers to:
- Iowa farmland with a CSR2 of 85 typically commands a premium over land with a CSR2 of 50 primarily because:
- In Iowa, the sales comparison approach requires the appraiser to make adjustments for differences between comparable sales and the subject property. A comparable with an extra full bathroom compared to the subject would require:
Practice More Iowa Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Iowa Quiz →