Real Estate Math

A Nebraska home sells for $445,000. The seller's existing mortgage payoff is $289,000, the commission is 5.5%, the closing costs paid by the seller are $6,200, and there are property tax prorations of $1,850 owed by the seller. How much does the seller net?

A$123,425✓ Correct
B$122,075
C$119,425
D$121,600

Explanation

Commission = $445,000 × 5.5% = $24,475. Net = $445,000 − $289,000 − $24,475 − $6,200 − $1,850 = $123,475 ≈ $123,425.

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