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Gross Rent Multiplier (GRM)

Quick screening metric comparing price to gross rental income.

Formula

GRM = Property Price / Annual Gross Rental Income

Explanation

How many years of gross rent to pay for the property. Lower GRM = better value. Useful for screening but ignores expenses. Always follow up with NOI analysis.

Example

$900K listed, $120K gross rent. GRM = 7.5. Comps at 9-10 suggests bargain or hidden risk.

How the CRE Analyst Agent Helps

  • Calculates gross rent multiplier instantly from uploaded rent rolls and operating statements
  • Compares your deal against market benchmarks for the property type and location
  • Runs sensitivity analysis showing how changes in key variables affect outcomes
  • Generates professional investment summaries with all key metrics included

Frequently Asked Questions

How does the CRE Analyst Agent calculate this?
Upload an offering memorandum, rent roll, or operating statement. The agent extracts relevant data, performs the calculation, and presents results with market context.
Can I analyze multiple properties at once?
Yes. The CRE Analyst Agent evaluates multiple deals side by side, comparing all key metrics across your pipeline.
Does the agent account for market conditions?
Yes. The agent compares your deal metrics against benchmarks for the property type, class, and location.
How accurate are the calculations?
Calculations are mathematically precise based on the data you provide. The agent also flags potential data quality issues.

Analyze gross rent multiplier instantly

Upload your rent roll or offering memorandum. Get results in seconds, not hours.

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