Formula
GRM = Price ÷ Gross Annual Rent
Example
$300k price / $30k rent = 10 GRM. Lower is generally better.
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Real Estate Term
Gross Rent Multiplier
Property price divided by annual gross rent.
Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice