Real Estate Math
A Kentucky investor buys a duplex for $180,000. Annual gross rent is $18,000. What is the gross rent multiplier (GRM)?
A8
B9
C10✓ Correct
D12
Explanation
GRM = Purchase Price ÷ Annual Gross Rent = $180,000 ÷ $18,000 = 10. Using the values given ($180,000, $18,000), apply the appropriate formula..
Related Kentucky Real Estate Math Questions
- A Kentucky agent earns a 6% commission on a $275,000 sale and splits it 50/50 with their broker. The agent then pays 30% of their share to office expenses. What is the agent's net commission?
- A Kentucky property is assessed at $240,000. The tax rate is $0.85 per $100 of assessed value. What is the annual tax?
- A Kentucky real estate agent works for a brokerage that takes 30% of earned commissions. The agent sold a $400,000 home at 6% commission. How much does the agent receive?
- A Kentucky property sells for $340,000. The buyer puts 5% down and gets a 30-year loan. The loan origination fee is 1.5%. What is the origination fee amount?
- A Kentucky property is 2.5 acres. The owner sells it at $3.50 per square foot. What is the total sale price? (1 acre = 43,560 sq ft)
- A Kentucky property has a gross rent of $54,000/year and a vacancy rate of 10%. What is the EGI?
- A Kentucky property appraiser uses the cost approach. The land value is $40,000 and the building replacement cost is $220,000. Physical depreciation is 15%. What is the indicated value?
- A Kentucky property is purchased for $260,000. The buyer gets an 80% LTV mortgage. What is the down payment?
Practice More Kentucky Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Kentucky Quiz →