Real Estate Math & Calculations Flashcards
6 cards from real BC Real Estate Trading Services Course practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Real Estate Math & Calculations flashcards as text
A BC buyer makes an offer of $699,000 on a home listed at $729,000. What percentage below the list price is the offer?
Answer: 4.1%
Difference = $729,000 - $699,000 = $30,000. Percentage below list = $30,000 ÷ $729,000 = 0.04115 = 4.1%.
A BC property appraiser finds three comparables: Comp A sold for $810,000 (adjusted), Comp B for $798,000 (adjusted), and Comp C for $819,000 (adjusted). Using a simple average, what is the indicated value?
Answer: $809,000
Average = ($810,000 + $798,000 + $819,000) ÷ 3 = $2,427,000 ÷ 3 = $809,000.
A BC property sells for $580,000. The down payment is $116,000 (20%). The mortgage insurance premium at this LTV is 0%. The lender charges a $1,500 appraisal and legal fee. What is the total amount the buyer needs at closing (down payment + fees)?
Answer: $117,500
Total at closing = Down payment + Fees = $116,000 + $1,500 = $117,500. No CMHC premium since LTV is 80%.
A BC investor buys a property for $750,000 and sells it 3 years later for $880,000. What is the percentage appreciation?
Answer: 17.3%
Appreciation = ($880,000 - $750,000) ÷ $750,000 = $130,000 ÷ $750,000 = 0.1733 = 17.3%.
A BC property is listed at $670,000. A buyer offers 98% of the list price. What is the offer price?
Answer: $656,600
Offer = 98% × $670,000 = 0.98 × $670,000 = $656,600.
In BC, a property manager charges a management fee of 8% of gross monthly rent. A building collects $14,500/month in rent. What is the monthly management fee?
Answer: $1,160
Management fee = 8% × $14,500 = 0.08 × $14,500 = $1,160.