What Georgia math actually tests
Setup selection, not arithmetic. Georgia adds three calculations no national sheet covers: transfer tax on the sale price, intangible recording tax on the loan amount, and property tax applied to 40% of fair market value. Most lost marks come from applying the right formula to the wrong number.
| Formula | Method | Worked example | The mistake it catches |
|---|---|---|---|
| Transfer taxGA | Sale price / 1,000 x $1.00 | $285,000 / 1,000 x $1 = $285 | Applying it to the loan amount instead of the price. |
| Intangible recording taxGA | Based on the loan amount | $320,000 loan, not the $400,000 price | Using the sale price. The stem usually gives you both. |
| Assessed valueGA | Fair market value x 40% | $300,000 x 0.40 = $120,000 | Applying millage to the full market value. |
| Property tax | Assessed value / 1,000 x millage | $120,000 / 1,000 x 25 = $3,000 | Skipping the assessment ratio first. |
| Commission | Sale price x rate | $340,000 x 6% = $20,400 | Answering with the total when the question wanted one side's split. |
| Seller net | Desired net / (1 - commission rate) | $280,000 / 0.94 = $297,872 | Adding the rate to the net instead of dividing. |
| Loan-to-value | Loan / value | $200,000 / $250,000 = 80% | Dividing the down payment by the price. |
| Discount points | Loan x points as a percentage | $180,000 x 1% = $1,800 | Taking a percentage of the sale price. |
| Capitalisation rate | Net operating income / value | $48,000 / $600,000 = 8% | Using gross rent rather than NOI. |
| Gross rent multiplier | Price / gross rent | $240,000 / $24,000 = 10 | Confusing it with cap rate, which uses NOI. |
| Proration | Annual amount / 360 x days owned | $3,600 / 360 x 90 = $900 | Getting the direction wrong. Taxes in arrears mean the seller credits the buyer. |
| Acreage | Square feet / 43,560 | 435,600 / 43,560 = 10 acres | Forgetting to multiply width by depth first. |
| Profit or loss | (New - original) / original | ($250,000 - $200,000) / $200,000 = 25% | Dividing by the new figure rather than the original. |
| Straight-line depreciation | Improvement value / useful life | $275,000 / 27.5 = $10,000 a year | Including land. Land is not depreciated. |
| Appraisal adjustment | Adjust the comparable, never the subject | Comparable superior by $8,000, so subtract $8,000 | Adjusting the subject property. |
How to practise these
Not by working through them in order. Read stems and name the formula before computing anything, because that is the decision the exam is actually testing. The math drill presents them mixed and unlabelled for that reason, and the calculators let you check a figure once you have chosen your method.