Real Estate Math
A seller receives $310,000 for their home. After paying a 5% commission, what are the net proceeds before other closing costs?
A$279,500
B$294,500✓ Correct
C$295,000
D$296,500
Explanation
Commission = $310,000 × 5% = $15,500. Net proceeds = $310,000 − $15,500 = $294,500. To solve this, multiply the relevant values: $310,000 at 5%.. The correct answer is $294,500.. This is a common calculation on the Ohio real estate exam.
Related Ohio Real Estate Math Questions
- A rental property generates $18,000 annual NOI. If comparable properties sell at a 6% cap rate, what is its estimated value?
- An investor requires a 12% return on investment. The property generates $24,000 annual cash flow after debt service. What is the maximum they should invest in equity?
- An Ohio broker's office collected $650,000 in gross commissions over the year. The broker's operating expenses were $280,000. What is the net income?
- A commercial property is listed for $1,500,000. The buyer offers 95% of asking price. What is the offer amount?
- A buyer in Cleveland purchases a $220,000 home with a 3.5% FHA down payment. How much is the down payment?
- A property has a lot measuring 200 feet by 300 feet. How many acres is this? (1 acre = 43,560 sq ft)
- An Ohio property is assessed at $96,000. The millage rate is 55 mills. What is the annual property tax?
- A property generates annual gross rents of $36,000 and has a 5% vacancy rate. What is the effective gross income?
Practice More Ohio Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Ohio Quiz →