Real Estate Math
An Idaho investor purchases a rental property for $195,000. The annual rent is $14,400. What is the annual gross rent multiplier (using annual rent)?
A12.5
B13.0
C13.5✓ Correct
D14.0
Explanation
Annual GRM = Purchase Price / Annual Gross Rent = $195,000 / $14,400 = 13.54, approximately 13.
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