Much to your surprise, your grandmother who loved you so much as grandmothers tend to do, had a vacation property in Red River and she left it to you. You want to keep it as a VRBO and can get net after expenses $155/night. On average you will be able to keep it rented 20 days a month.

If you planned on keeping this property as a VRBO for 12 years and needed to earn 9.25% return, what is the value of this property to you today?

A. $260,381

B. $303,778

C. $269,061

D. $273,400

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REAL ESTATE FINANCE QUESTION