Real Estate Math
A Kansas commercial building sells for $1,200,000. The cap rate is 7.5%. What is the NOI?
A$72,000
B$80,000
C$90,000✓ Correct
D$96,000
Explanation
NOI = Value × Cap Rate = $1,200,000 × 0.075 = $90,000. To solve this, multiply the relevant values: $1,200,000 at 7.5%.. The correct answer is $90,000.. This is a common calculation on the Kansas real estate exam.
Related Kansas Real Estate Math Questions
- A Kansas retail tenant's lease provides for 5% annual rent increases. Year 1 rent is $24,000. What is the Year 3 annual rent?
- A Kansas commercial property generates gross annual income of $120,000. Operating expenses are 40% of gross income. The cap rate is 8%. What is the estimated value?
- A Kansas agent lists a property at $225,000 and earns 6% commission. The agent gives 40% to their broker. What does the agent keep?
- A Kansas home sells for $260,000. Closing costs are 2.5% of the sale price. What are the total closing costs?
- A Kansas warehouse is 200 feet × 150 feet. Monthly rent is $0.60 per square foot. What is the monthly rent?
- A Kansas home appraises for $240,000. The lender lends at 80% LTV. The purchase price is $235,000. What is the maximum loan amount?
- A Kansas borrower has a monthly payment of $1,450 on a $200,000 mortgage at 7% annual interest. What is the interest portion of the first payment?
- A Kansas buyer's agent earns 3% of a $310,000 sale. After the broker's 35% split, what does the agent net?
Practice More Kansas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Kansas Quiz →