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Gross Rent Multiplier (GRM) Calculator

Finance

Calculate the Gross Rent Multiplier, a quick real estate valuation ratio comparing property price to gross annual rental income.

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USD
$0.01$1,000,000,000,000.00
USD
$0.01$1,000,000,000,000.00

Gross Rent Multiplier

11.76

How many years of gross rent it would take to equal the propertys purchase price.

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Odeh Ahwal

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Odeh Ahwal
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Frequently Asked Questions

How is the Gross Rent Multiplier calculated?

GRM = Property Price / Gross Annual Rental Income. A lower GRM generally means a property generates more rental income relative to its price.

Does GRM account for operating expenses?

No. GRM uses gross rent only, ignoring expenses like taxes, insurance, maintenance, and vacancy, which is why it is best used as a quick screening tool rather than a full investment analysis.

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