Real Estate Math
A Texas investor paid $500,000 for a commercial property and wants a 9% return on their investment. What minimum annual NOI does the investor require?
A$40,000
B$45,000✓ Correct
C$50,000
D$55,000
Explanation
Required NOI = Investment × Return Rate = $500,000 × 0.09 = $45,000.
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