Property Valuation
In Tennessee, the 'gross rent multiplier' (GRM) is most useful for valuing:
ALarge apartment complexes with complex income streams
BSingle-family rentals and small residential income properties✓ Correct
COffice buildings and retail properties
DVacant land parcels
Explanation
The GRM is a simplified income approach tool most commonly used for single-family rentals and small residential income properties where detailed income/expense data may not be available.
Related Tennessee Property Valuation Questions
- In Tennessee, USPAP (Uniform Standards of Professional Appraisal Practice) requires appraisers to:
- Functional obsolescence in a property refers to:
- Reproduction cost in the cost approach means:
- The 'before and after' method of appraisal is used in cases of:
- In the sales comparison approach, an appraiser makes a negative adjustment to a comparable sale when:
- The gross rent multiplier (GRM) approach is best suited for:
- The principle of conformity states that value is maximized when:
- A Tennessee appraiser who accepts an appraisal assignment contingent on the result exceeding a certain value is:
Practice More Tennessee Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Tennessee Quiz →