Real Estate Math
A 12-unit apartment building sold for $1,440,000. Each unit rents for $1,000/month. What is the GRM?
A100
B120✓ Correct
C144
D150
Explanation
Monthly gross rent = 12 × $1,000 = $12,000. GRM = Sale Price / Monthly Gross Rent = $1,440,000 / $12,000 = 120.
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