Real Estate Math

A buyer makes a 5% down payment on a $290,000 home. What is the loan amount?

A$261,000
B$270,500
C$275,500✓ Correct
D$285,000

Explanation

Down payment = $290,000 × 5% = $14,500. Loan amount = $290,000 − $14,500 = $275,500. To solve this, multiply the relevant values: $290,000 at 5%.. The correct answer is $275,500.. This is a common calculation on the Ohio real estate exam.

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