Real Estate Math

A buyer makes a 20% down payment on a $375,000 home. What is the loan amount?

A$75,000
B$300,000✓ Correct
C$285,000
D$325,000

Explanation

Down payment = $375,000 × 0.20 = $75,000. Loan amount = $375,000 − $75,000 = $300,000. To solve this, multiply the relevant values: $375,000 at 20%.. The correct answer is $300,000.. This is a common calculation on the Montana real estate exam.

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