Real Estate Math
A South Dakota investor sells an investment property for $550,000 after holding it for 5 years. He purchased it for $400,000. His capital gain is:
A$100,000
B$150,000✓ Correct
C$200,000
D$550,000
Explanation
Capital gain = Sale price − Purchase price = $550,000 − $400,000 = $150,000 (before any deductions for improvements or depreciation).
Related South Dakota Real Estate Math Questions
- A South Dakota commercial property generates $7,500/month in rent. Annual expenses are $36,000. What is the annual NOI?
- A South Dakota home sells for $310,000. The buyer puts 20% down and obtains a 30-year loan at $6.60 per $1,000. What is the monthly P&I payment?
- In South Dakota, an annual property tax bill of $4,200 is paid in arrears. Closing is September 30. How much does the seller owe in prorated taxes?
- A South Dakota seller nets $280,000 after paying a 6% commission. What was the sale price?
- A South Dakota investor buys a property for $450,000 and sells it 4 years later for $540,000. What is the total percentage gain?
- A South Dakota property was purchased 5 years ago for $200,000. It has appreciated at an average annual rate of 4%. What is the current value?
- A South Dakota buyer's offer is $345,000 for a property appraised at $330,000. The lender will loan 80% of the appraised value. How much will the buyer need in cash at closing (down payment + gap)?
- A South Dakota property has a monthly effective gross income of $7,500 and annual operating expenses of $36,000. What is the annual NOI?
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 →