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Gross Rent Multiplier illustration

Real Estate · Valuation

Gross Rent Multiplier

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Use GRM for a quick first-pass comparison when detailed expense data is not available yet.

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Interactive workbench

Rent roll screening

Property Price / Annual Gross Rental Income

A $900,000 price divided by $120,000 gross rent gives a 7.5 GRM.

Check your inputs before you rely on the result — calculations are informational only and depend entirely on the numbers you enter. See our Terms.

Variables and units

  • Property Price

    Purchase price or estimated price.

    currency

  • Annual Gross Rental Income

    Gross annual rental income.

    currency

Common mistakes

  • Using NOI instead of gross rent.
  • Comparing GRM across markets without context.

Step-by-step example

Rent roll screening

A $900,000 price divided by $120,000 gross rent gives a 7.5 GRM.