Real Estate Math

A Virginia property is appraised at $450,000. The lender requires an LTV of 80%. What is the maximum loan amount?

A$340,000
B$360,000✓ Correct
C$380,000
D$400,000

Explanation

Maximum loan = $450,000 × 80% = $360,000. To solve this, multiply the relevant values: $450,000 at 80%.. The correct answer is $360,000.. This is a common calculation on the Virginia real estate exam.

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