Real Estate Math
A property was purchased for $320,000. It appreciated 4% in year 1 and 3% in year 2. What is the value after two years?
A$342,400
B$344,576✓ Correct
C$345,600
D$349,600
Explanation
Year 1: $320,000 × 1.04 = $332,800.
Related Rhode Island Real Estate Math Questions
- A Newport listing agent earns a 6% commission on a $750,000 sale. The listing broker and buyer's broker split the commission 50/50. The listing agent keeps 70% of the listing broker's share. How much does the listing agent earn?
- A buyer obtains a 30-year fixed mortgage at 7% on a $280,000 loan. The monthly payment factor per $1,000 at 7% for 30 years is $6.65. What is the approximate monthly principal and interest payment?
- A building has a net operating income of $48,000 and is valued using a 7.5% cap rate. What is the estimated value?
- A buyer takes out a $210,000 mortgage at 6.5% annual interest. What is the interest portion of the first monthly payment?
- A Rhode Island rental property has potential gross income of $75,000, vacancy of 5%, and total operating expenses of $28,500. What is the net operating income?
- A Rhode Island building has an NOI of $50,000 and is purchased for $625,000. An investor needs a 9% return to justify the investment. Is this a good investment?
- A Rhode Island investor wants a 10% return on a $500,000 investment. What annual NOI must the property generate?
- A Rhode Island property sells for $460,000. Closing costs are 2% of the sale price (paid by the buyer). What are the buyer's total closing costs?
Practice More Rhode Island Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Rhode Island Quiz →