Real Estate Math
If a buyer's loan has a beginning balance of $200,000 and the first monthly payment is $1,200, of which $933 is interest, how much does the balance decrease?
A$200
B$267✓ Correct
C$300
D$933
Explanation
Principal reduction = Monthly payment - Interest = $1,200 - $933 = $267. The loan balance decreases by $267 after the first payment.
Related New York Real Estate Math Questions
- An investor purchases a property for $1,200,000. Annual NOI is $90,000. What is the cap rate?
- A New York broker's property management agreement calls for a fee of 8% of collected rents. The building collects $18,500 per month. What is the annual management fee?
- A commercial building in Manhattan has 10,000 sq ft of rentable space leased at $50/sq ft/year. Annual operating expenses are $175,000. What is the annual NOI?
- A property's assessed value is $320,000 and the equalization rate is 80%. What is the full market value?
- A New York property generates monthly rent of $4,500. Annual operating expenses are $25,000. If the property is valued at a 7% cap rate, what is the estimated value?
- A 10-unit building has 2 vacant units. Annual gross potential income is $360,000. The actual collected income (EGI) is:
- If a property's NOI is $55,000 and the cap rate is 7%, the indicated value is:
- A new building in Brooklyn has 20 units. 16 are rented at $2,200/month and 4 are vacant. Annual operating expenses are $110,000. What is the annual NOI?
Practice More New York Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free New York Quiz →