Real Estate Math

A Utah property owner has a $350,000 mortgage balance and the property is worth $490,000. What is the owner's equity?

A$110,000
B$140,000✓ Correct
C$175,000
D$200,000

Explanation

Equity = Property Value - Mortgage Balance = $490,000 - $350,000 = $140,000. Using the values given ($350,000, $490,000), apply the appropriate formula.. The correct answer is $140,000.. This is a common calculation on the Utah real estate exam.

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