Real Estate Math
A Massachusetts investor plans to refinance a $900,000 commercial property. The new loan will be 65% LTV. What is the maximum loan amount?
A$585,000✓ Correct
B$630,000
C$900,000
D$540,000
Explanation
Maximum loan = $900,000 × 65% = $585,000. To solve this, multiply the relevant values: $900,000 at 65%.. The correct answer is $585,000.. This is a common calculation on the Massachusetts real estate exam.
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