Property Valuation
The 'gross rent multiplier' (GRM) method for valuing a Montana rental property involves:
ADividing the property value by the annual NOI
BDividing the property price by the monthly gross rent to get a multiplier used for quick comparisons✓ Correct
CMultiplying the gross rent by the cap rate
DAdding all gross rents over the loan term
Explanation
The Gross Rent Multiplier (GRM) = Property Price / Monthly Gross Rent. It is used for quick comparisons of rental properties.
Related Montana Property Valuation Questions
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