A Texas agent earns a 6% commission on a $350,000 sale. The listing broker takes 60% of the commission. How much does the listing broker receive?
Correct Answer
B) $12,600
Total commission: $350,000 × 6% = $21,000. Listing broker's share: $21,000 × 60% = $12,600.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
Determining ownership days involves calculating the number of days each party (buyer and seller) owned the property during the relevant period (usually a year). This calculation is crucial for accurate proration.
The gross rent multiplier (GRM) is a quick method for estimating the value of income-producing property by multiplying the property's gross rent by a factor derived from comparable sales. GRM = Sale Price / Gross Rent.
IRV stands for Income, Rate, and Value. It represents the relationship between Net Operating Income (I), Capitalization Rate (R), and Property Value (V).
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