Real Estate Math
A property has monthly rents of $3,800. At a 7.5% annual cap rate, what is the estimated property value?
A$552,000
B$568,000
C$608,000✓ Correct
D$660,000
Explanation
Annual NOI ≈ $3,800 × 12 = $45,600 (assuming rents approximate NOI). Value = $45,600 / 0.
Related Ohio Real Estate Math Questions
- A property generates $6,500 per month NOI. At a 6% cap rate, what is the market value?
- An investor pays $485,000 for a building and the land is worth $85,000. The IRS allows 27.5-year straight-line depreciation on residential buildings. What is the annual depreciation deduction?
- A buyer in Toledo purchases a $195,000 home with an FHA loan (3.5% down) and pays a 1.75% upfront MIP. What is the upfront MIP dollar amount?
- A buyer offers $425,000 with a 10% earnest money deposit. What is the earnest money amount?
- A commercial lease requires the tenant to pay $18/sf base rent on 2,500 sf plus 15% of the tenant's gross sales above $400,000. If annual sales are $480,000, what is the total annual rent?
- A 40-unit apartment complex has a potential gross income of $432,000 annually. At 95% occupancy, what is the effective gross income?
- An Ohio apartment has a potential gross income (PGI) of $84,000. Vacancy and credit loss is 7%. Operating expenses are $28,000. What is the NOI?
- A property sells for $280,000. The Ohio conveyance fee is $1 per $1,000 of sale price. What is the state conveyance fee?
Practice More Ohio Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Ohio Quiz →