Answered step by step
Verified Expert Solution
Question
1 Approved Answer
25 Felice bought a duplex apartment at a cost of $245,000. Her mortgage payments on the property are $1,040 per month, $564 of which
25 Felice bought a duplex apartment at a cost of $245,000. Her mortgage payments on the property are $1,040 per month, $564 of which can be deducted from her income taxes. Her real estate taxes total $1,632 per year, and Insurance costs $1,476 per year. She estimates that she will spend $1,236 each year per apartment for maintenance, replacing appliances, and other costs. The tenants will pay for all utilities. What monthly rent must she charge for each apartment to break even? Note: Do not round Intermediate calculations. Round your answer to 2 decimal places. Ignore any tax effects. Rent per apartment to break even
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started