Real Estate Math
A Pennsylvania listing has 5% total commission. The listing broker takes 45% of the total and pays 55% to the cooperating buyer's broker. On a $280,000 sale, how much does the cooperating broker receive?
A$6,300✓ Correct
B$7,700
C$14,000
D$8,400
Explanation
Total commission = 5% × $280,000 = $14,000. Cooperating broker's share = 55% × $14,000 = $7,700. Listing broker retains 45% × $14,000 = $6,300. Commission splits are negotiated between brokers and stated in the MLS cooperation offer.
Related Pennsylvania Real Estate Math Questions
- A Pennsylvania investor buys a duplex for $280,000 with a 25% down payment. The annual NOI is $22,000. What is the cash-on-cash return?
- A rectangular lot in Chester County, PA has 200 feet of street frontage and is 300 feet deep. The property sells for $10 per square foot. What is the total sale price?
- A property sells for $450,000. The buyer obtains an 80% LTV mortgage. What is the loan amount?
- A buyer makes a 15% down payment on a $280,000 home. What is the loan amount and what is the LTV ratio?
- Property taxes are $4,200 per year. The closing occurs on April 15 (day 105 of the year). Using a 365-day year, how much tax has the seller accrued and must credit the buyer at closing?
- A commercial building has a NOI of $80,000 and sells for $1,000,000. What is the capitalization rate?
- An investor buys a rental property for $180,000 and rents it for $1,600/month. What is the annual gross rent multiplier?
- A Pittsburgh investment property generates $48,000 annual gross rent. Operating expenses total $18,000. The investor paid $300,000. What is the cap rate?
Practice More Pennsylvania Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Pennsylvania Quiz →