Real Estate Math
A rental home generates $18,000 in annual rent. The investor paid $198,000. What is the gross rent multiplier (annual)?
A9
B10
C11✓ Correct
D12
Explanation
Annual GRM = Purchase Price ÷ Annual Rent = $198,000 ÷ $18,000 = 11. Using the values given ($18,000, $198,000), apply the appropriate formula..
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