1. You took out a $4,500,000 mortgage 5 years ago. It had an interest rate of 4.5% and a 20-year amortization schedule. As such, your monthly mortgage payments are $28,469.22. You want to sell the property now, after 5 years. What would be the amount you still owe on the mortgage? In other words, the mortgage balance has amortized to what number today, after 5 years. Remember, you made payments monthly over 5 years. Express in standard currency format.

2. You purchased a property for $1,000,000. The NOI is $70,000. You can borrow money (i.e., take out a mortgage) at an interest rate of 3%. Is this positive or negative leverage?

3. You are purchasing a 2-family rental property for $1,650,000. The bank will finance 75% of the purchase price. How much equity do you need to purchase this property? Show answer in standard currency format with $, commas, periods and rounded to 2 decimal places.