Assumptions: Purchase Price =$265,000 Monthly rent =$2,800 Rent growth rate =3% Vacancy rate =10% (of PGI ) Opex =30% (of EGI) Capex =5% (of EGI) Buying costs =2% Selling costs =3% Capital gains tax rate =20% Depreciation recapture tax rate =25% Your ordinary income tax rate =24% LTV ratio =80% Annual interest on loan =5% Holding period =8 years Annual miscellaneous income =$0 Ml growth rate =0% Length of loan =30 years Depreciation of residential property =27.5 years Percent of purchase that is land =10% 2022 sales price =$554,000 2019 offer price =$510,000 2017 offer price =$460,000 5) What is the remaining mortgage balance in year 2019 (after mortgage payment 60 )? A) $194,676.91 B) $194,350.00 C) $195,002.46 D) $195,326.66 6) If Lisa sold the house in July 2019, what is the cash flow from the sale of the house after year 5 ? (This is known as the after-tax equity reversion) A) $251,086.68 B) $252,384,61 C) $250,003.12 D) $256,507.66