Property Valuation
In Virginia, a property's gross rent multiplier (GRM) of 150 means:
AThe property should rent for 150% of the purchase price per year
BThe property's value is 150 times its monthly gross rent✓ Correct
CThe property generates a 150% return on investment
DThe property rents for 1/150th of its value per month
Explanation
GRM of 150 means the property's value is estimated at 150 times its monthly gross rent. If monthly rent is $2,000, the estimated value = $2,000 × 150 = $300,000.
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