Real Estate Math

A Maryland home is appraised at $480,000. The buyer makes a 15% down payment. What is the loan amount?

A$72,000
B$380,000
C$388,000
D$408,000✓ Correct

Explanation

Down payment = $480,000 × 0.15 = $72,000. Loan amount = $480,000 − $72,000 = $408,000. To solve this, multiply the relevant values: $480,000 at 15%.. The correct answer is $408,000.. This is a common calculation on the Maryland real estate exam.

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