Massachusetts Real Estate Salesperson Exam — All Questions

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1 questions

Real Estate Calculations

A buyer's annual property tax is $6,000. At a closing on the first day of the fourth month, how much tax has accrued for the seller's portion of the year (using 12 equal months)?

  • a.$500
  • b.$2,000
  • c.$1,500
  • d.$6,000

Annual tax of $6,000 is $500 per month ($6,000 / 12). By the start of the fourth month, three full months have accrued to the seller: 3 x $500 = $1,500. That amount is typically credited to the buyer at closing if taxes are paid in arrears.

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