Property Management

A gross lease, commonly used in residential rentals, means:

AThe tenant pays rent plus all operating expenses
BThe landlord pays all operating expenses from the fixed rent payment✓ Correct
CThe tenant pays a base rent plus a percentage of their income
DBoth landlord and tenant split all expenses equally

Explanation

In a gross lease, the tenant pays a fixed rent and the landlord pays the operating expenses (taxes, insurance, maintenance, utilities). This is the most common structure for residential rentals.

People Also Study

Practice More New York Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free New York Quiz →