Real Estate Math
A Vermont property rents for $1,800 per month. The gross rent multiplier (GRM) for the area is 120. What is the estimated property value?
A$180,000
B$216,000✓ Correct
C$183,600
D$240,000
Explanation
Annual gross rent = $1,800 × 12 = $21,600. Value = Annual Gross Rent × GRM = $21,600 × 10 = $216,000.
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