A property with a first mortgage of $130,000 and a second mortgage of $30,000 sells for $165,000. How much will the holder of the third mortgage receive?

To determine how much the holder of the third mortgage will receive, we first need to assess the distribution of the sale proceeds from the property.

The property sells for $165,000, and there are two existing mortgages: the first mortgage is for $130,000, and the second mortgage is for $30,000. The total debt secured by the existing mortgages amounts to $130,000 (first mortgage) + $30,000 (second mortgage) = $160,000.

When the property is sold for $165,000, the total proceeds are sufficient to cover the first and second mortgages. After settling these two debts, we need to look at how much is left:

Proceeds from sale: $165,000

Total mortgage debts: $160,000

Remaining proceeds after paying off mortgages: $165,000 - $160,000 = $5,000

This remaining amount of $5,000 would go to the holder of the third mortgage. Since there are no other debts preventing the third mortgage holder from receiving this amount, they will receive the $5,000.

Thus, the amount that the holder of the third mortgage will receive is indeed $5,000.