Real Estate Math
A Massachusetts property is assessed at $620,000 but the owner believes the market value is $575,000. If the tax rate is $12.50 per $1,000, how much could the owner save annually if the assessment is reduced to market value?
A$562.50✓ Correct
B$5,625.00
C$7,187.50
D$1,250.00
Explanation
Over-assessment = $620,000 − $575,000 = $45,000. Tax savings = ($45,000 ÷ $1,000) × $12.
Related Massachusetts Real Estate Math Questions
- A Massachusetts seller's closing costs include a deed excise tax on a $900,000 sale, plus a 5% commission and $2,500 in attorney's fees. What are the seller's total closing costs?
- A Massachusetts property with an NOI of $108,000 is valued at $1,440,000. What is the cap rate?
- A Massachusetts seller nets $285,000 after paying a 5% commission and $8,500 in closing costs. What was the approximate sale price?
- A Massachusetts commercial property has annual gross revenue of $500,000, a 7% vacancy factor, and an operating expense ratio of 42%. What is the net operating income?
- A Massachusetts property manager charges a leasing fee of one month's rent for finding a new tenant. The monthly rent is $2,800. The manager also charges 8% of monthly rents for management. Over a 12-month lease, what are total fees?
- A Massachusetts landlord collects last month's rent of $2,200 from a new tenant. The landlord must pay interest on this amount at what Massachusetts statutory rate?
- A seller wants to net $480,000 after paying a 6% commission. What must the minimum sale price be?
- An agent earns a 5% commission on a $640,000 sale. She receives 60% of that commission, and her broker retains the remainder. How much does the agent receive?
Practice More Massachusetts Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Massachusetts Quiz →