• Use the following information to answer the questions
• Property: Purchase Price $3,000,000
• Holding period (years) 5
• Property Appreciation Rate, % per year: 2.8%
• Selling Expenses in year 4: 7%
• Financing:
• LTV: 65%
• Loan rate (APR) 8.25%
• Loan term (years).. 30
• Monthly Amortization / monthly payments

Flag question: Question 1

Question 1

1pts

Find the Sale price of the property in year 5. Use annual compounding and round to the nearest dollar:

Flag question: Question 2

Question 2

1pts

Find the selling costs for the property, rounded to the nearest dollar.:

Flag question: Question 3

Question 3

1pts

Find the mortgage balance on the property in year 5. Round to the nearest dollar:

Flag question: Question 4

Question 4

1pts

Find the Before Tax Equity Reversion Value. Round to the nearest dollar.: