Property Valuation
What is the gross rent multiplier (GRM) if a rental property sells for $240,000 and generates $2,000 per month in gross rent?
A10
B120✓ Correct
C12
D240
Explanation
GRM = Sale Price / Monthly Gross Rent = $240,000 / $2,000 = 120. The GRM is a quick valuation shortcut that compares sale price to gross rental income.
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