Real Estate Paper 31

Sandy Grier’s lakefront property has a rental cottage. Rent for the cottage is $1,200 per month, payable in advance on the tenth of the month. Settlement on the property is June 20th. How much does Sandy owe the buyer?

Lehka Patel paid $864 for a 3-year homeowner’s insurance policy on January 1 of last year. If closing date on her house is March 3, who owes what to whom?

If a $233,000 house depreciates at a rate of 3% a year for 6 years under straight-line depreciation, what is it worth today?

The Elm Street Bocce Club recently sold its property for $2,345,320. If the property was purchased 20 years ago for $509,870, what is the annual rate of appreciation?

DeLuca’s Auto Body Shop was bought 5 years ago for $180,000. The property was just sold for $153,000. What was the depreciation per year?

A house sold for 155% of its original value. If it sold for $755,649.80, what was its original value?

Eight years ago, it cost $70,000 to build a home on a $15,000 lot. If the home depreciates at 4% per year, and the lot appreciates at 5% per year, what is the total value now of the property, including improvements?

Using straight-line depreciation, a house that is valued at $789,300 and has a useful life of 35 years, is worth what after 7 years?

An apartment building with 24 apartments renting at $1,100 each has just sold. If the buyers were told to expect a rate of return of 12.5%, what was the selling price of the building?

A duplex sold for $200,000. It has a yearly rental income of $15,000. What is the rate of return?