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Real Estate Sales Agent

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Real-Life Math

It should come as no surprise that a real estate agent should have good math skills.

"You really have to be well-rounded to be a good agent," says real estate agent Rick Neilson. "The best agents could walk into a construction site, bank or law office and handle any of those jobs."

One of the first things a real estate agent should do when working with a new client is to help the client determine an appropriate price range. Otherwise, a client may be tempted to buy a house they cannot afford.

A lending institution will only issue a mortgage with payments which amount to 33 percent of a borrower's monthly income. Your clients, the Smiths, earn $2,700 per month.

They have $30,000 for a down payment on a home.

Assuming the monthly payment is approximately 1 percent of the total mortgage, what price range should they consider?

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OCAP believes that financial literacy and understanding the financial aid process are critical aspects of college planning and student success. OCAP staff who work with students, parents, educators and community partners in the areas of personal finance education, state and federal financial aid, and student loan management do not provide financial, investment, legal, and/or tax advice. This website and all information provided is for general educational purposes only, and is not intended to be construed as financial, investment, legal, and/or tax advice.