Real Estate Math
A Mississippi property manager collects $45,000 in annual gross rents and charges a management fee of 8% of collected rents. The annual management fee is:
A$4,500
B$3,600✓ Correct
C$5,400
D$2,700
Explanation
Annual management fee = $45,000 × 0.08 = $3,600. Property management fees are commonly calculated as a percentage of collected (or gross) rents. At 8%, the manager earns $3,600 annually on $45,000 in collected rents.
Related Mississippi Real Estate Math Questions
- A Mississippi property has an assessed value of $60,000 and a tax rate of 120 mills. The annual tax is:
- A Mississippi salesperson's commission is 3% of the sales price. If they sell a home for $310,000, their commission is:
- A Mississippi commercial lease has a base rent of $3,000 per month and a percentage rent of 5% of gross sales above $500,000 annually. If annual gross sales are $600,000, what is the total annual rent?
- A Mississippi investor has a $400,000 property with a $280,000 mortgage. The debt coverage ratio (DCR) is 1.25 and annual debt service is $24,000. The NOI is:
- A Mississippi home has 1,800 square feet of living area. The price per square foot is $95. What is the indicated value?
- A Mississippi property's net operating income is $22,500. If its value is $300,000, the capitalization rate is:
- A seller in Mississippi wants to net $150,000 after paying a 6% commission. What is the minimum price the property must sell for (rounded to the nearest dollar)?
- A Mississippi homeowner sells their primary residence for $425,000. Their adjusted basis is $225,000 and they are married filing jointly. The taxable capital gain is:
Practice More Mississippi Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Mississippi Quiz →