Gross Rent Multiplier (At Purchase) – Measures the purchase price to its annual gross income. The GRM is the number of years it takes to pay for the purchase price via gross income.

  Purchase Price
÷ Gross Income (1st Year)
------------------------------
= Gross Rent Multiplier (At Purchase)
 $1,800,000
÷  $268,800
-------------------
= 6.7%

Pin It on Pinterest

Share This