Real Estate Math

A South Dakota buyer takes a $185,000 mortgage at 5.25% for 30 years. Monthly payment factor: $5.52 per $1,000. If the first month's payment includes $808.13 interest, how much principal is repaid in the first month?

A$213.27✓ Correct
B$204.07
C$212.07
D$215.07

Explanation

Monthly payment: (185,000 ÷ 1,000) × $5.52 = 185 × $5.52 = $1,021.20. Interest paid first month: $808.13. Principal: $1,021.20 - $808.13 = $213.07 ≈ $213.27 (closest option is $213.27).

Related South Dakota Real Estate Math Questions

Practice More South Dakota Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free South Dakota Quiz →