Real Estate Math

An investor purchases a property for $500,000 with a 25% down payment. What is the loan amount?

A$125,000
B$375,000✓ Correct
C$400,000
D$475,000

Explanation

Down payment = $500,000 x 25% = $125,000. Loan amount = $500,000 - $125,000 = $375,000.

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