As a real estate speculator, you are planning and able to buy a house that costs $$200,000,$

borrowing the full amount with no money down with the goal of selling this same property in

exactly one year. Mortgage interest rates are $5\%,$ and the expected increase in housing

prices is $2\%.($All rates and percentages are annual values.$)$

What is your expected capital gain$/$loss when you flip the house in one year?

The expected capital gain $($or loss$)$ is $$,.($Round your response to the nearest dollar.$)$