16. A mortgage loan for 10% is at a 75% loan-to-value ratio. The interest on the original balance for
the first year is $65,900. What is the value of the property securing the loan? Round to the nearest
dolar.
17. A mortgage loan for 6% is at an 85% loan-to-value ratio. The interest on the original balance for
the first year is $15,600. What is the value of the property securing the loan? Round to the nearest
dolar.
18. A mortgage loan for 8% yields interest on the original balance for the first year in the amount of
$30,000. The value of the property securing the loan is $468,750? What is the loan-to-value ratio?
19. A mortgage loan for 7% yields interest on the original balance for the first year in the amount of
$20,000. The value of the property securing the loan is $340,000? What is the loan-to-value ratio?
20. A homebuyer may obtain a $50,000 mortgage loan, provided the buyer pays a discount of five
points. What is the amount of the discount?
Topic 4: Sales Commission
21. Broker sold a house for $65,000. The total commission came to $4,000. What was broker's
commission rate?
22. An agent received a 3% commission on 25 percent of her total sales. On the remainder, she
received a 6% commission. What was the average commission rate for all of her sales?
Real Estate Finance
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