Real Estate Math
A Vermont investor purchases a property for $320,000 and sells it 3 years later for $380,000 after paying $12,000 in improvements. What is the net profit?
A$48,000✓ Correct
B$60,000
C$68,000
D$72,000
Explanation
Net profit = Sale price - (Purchase price + Improvements) = $380,000 - ($320,000 + $12,000) = $380,000 - $332,000 = $48,000.
Related Vermont Real Estate Math Questions
- A Vermont home sells for $320,000. The property was purchased 3 years ago for $256,000. What was the total dollar appreciation?
- A Vermont property purchased for $210,000 is assessed at 85% of fair market value. If the tax rate is $2.10 per $100 of assessed value, what is the annual tax?
- A Vermont buyer purchases land at $2.50 per square foot. The lot is 0.75 acres. How much does the buyer pay? (1 acre = 43,560 sq ft)
- A Vermont investment property has a purchase price of $450,000, a 25% down payment, and the remaining financed at 6.5%. Annual debt service is $22,680. What is the NOI needed for a 1.20 DCR?
- A Vermont listing contract specifies a 5.5% commission. The property sells for $385,000. The listing broker and buyer's broker split the commission equally. How much does each broker receive?
- A Vermont property has an assessed value of $180,000 with a common level of appraisal (CLA) of 90%. What is the estimated fair market value?
- A Vermont property rents for $1,800 per month. The gross rent multiplier (GRM) for the area is 120. What is the estimated property value?
- A Vermont property's annual NOI is $54,000. If the cap rate is 6.5%, what is the property's estimated value?
Practice More Vermont Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Vermont Quiz →