Real Estate Math
A property in Fairbanks has a GRM of 120 and generates monthly gross rent of $2,200. What is the estimated market value?
A$224,400
B$242,000
C$264,000✓ Correct
D$284,000
Explanation
Value = Monthly Gross Rent × GRM. $2,200 × 120 = $264,000. Using the values given ($2,200), apply the appropriate formula.. The correct answer is $264,000.. This is a common calculation on the Alaska real estate exam.
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