Real Estate Math

A Maine property with 8 units rents each unit at $800/month. At 10% vacancy, the effective gross income (EGI) is:

A$69,120✓ Correct
B$72,000
C$76,800
D$64,000

Explanation

PGI = 8 × $800 × 12 = $76,800. EGI = $76,800 × (1 − 0.10) = $76,800 × 0.90 = $69,120. To solve this, multiply the relevant values: $800 at 10%.. The correct answer is $69,120.. This is a common calculation on the Maine real estate exam.

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