Real Estate Math

A South Carolina seller wants to walk away with $180,000 after paying a 6% commission and $4,500 in other closing costs. What must the minimum sale price be?

A$196,277✓ Correct
B$195,745
C$198,404
D$191,489

Explanation

Net desired = $180,000. After closing costs: $180,000 + $4,500 = $184,500 must come from sale after commission. Sale Price = $184,500 / 0.94 = $196,277. $184,500 = Sale × (1-0.06). Sale = $184,500 / 0.94 = $196,276.60 ≈ $196,277.

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