Real Estate Math

A $520,000 property is mortgaged at 75% LTV. What is the down payment?

A$130,000✓ Correct
B$390,000
C$150,000
D$75,000

Explanation

Loan = $520,000 × 75% = $390,000. Down payment = $520,000 - $390,000 = $130,000. To solve this, multiply the relevant values: $520,000 at 75%.. The correct answer is $130,000.. This is a common calculation on the New York real estate exam.

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