Real Estate Math
A Texas homeowner has a $250,000 home with a $180,000 mortgage. After selling for $265,000 and paying $15,000 in closing costs, what are the net proceeds?
A$70,000✓ Correct
B$85,000
C$50,000
D$65,000
Explanation
Net proceeds = Sale Price – Mortgage Payoff – Closing Costs = $265,000 – $180,000 – $15,000 = $70,000. This is the amount the seller takes home after satisfying the mortgage and paying closing costs.
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