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 3) If Lisa sold the house in July 2017, what is the cash flow from the sale of the house after year 3 ? (This is known as the after-tax equity reversion) A) $204,835.17 B) $208,617.93 C) $213,921,72 D) $203,080.81 4) If Lisa sold the property after year 3 what is her ATIRR? A) 24.65% B) 59.71% C) 40.82% D) 62.29%