Property Valuation
A Virginia property sold for $400,000. The monthly rent is $2,000. What is the Gross Rent Multiplier?
A150
B175
C200✓ Correct
D225
Explanation
GRM = Sale Price ÷ Monthly Rent = $400,000 ÷ $2,000 = 200. The GRM is a simple way to estimate value based on rental income.
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