Real Estate Math

A Michigan property sells for $380,000. The Michigan state transfer tax is $3.75 per $500. What is the state transfer tax?

A$1,425
B$2,850✓ Correct
C$3,800
D$5,700

Explanation

State transfer tax: $380,000 / $500 = 760 units × $3.75 = $2,850. Michigan's state real estate transfer tax is $3.75 per $500 (or fraction thereof) of the sale price.

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