GRM
Business & Finance abbreviation · Real Estate & Mortgage
| Stands for | Gross rent multiplier |
|---|---|
| Categories | Business & Finance |
GRM stands for Gross rent multiplier, a real estate & mortgage abbreviation.
Quick valuation ratio equal to a rental property's price divided by its gross annual rent, used to compare similar properties without detailed expense data.
Example: At $600,000 with $60,000 of annual rent, the GRM is 10.
Usage notes
GRM ignores vacancies and operating costs, so investors treat it as a screening tool before calculating net operating income.
Related abbreviations
More real estate & mortgage abbreviations
- FSBO – For sale by owner
- FTHB – First-time homebuyer
- GFE – Good faith estimate
- GLA – Gross leasable area
- GNMA – Government National Mortgage Association
- GRI – Graduate, REALTOR Institute
- GSE – Government-sponsored enterprise
- HECM – Home Equity Conversion Mortgage
- HEL – Home equity loan
- HELOC – Home equity line of credit
- HOA – Homeowners association
- HUD-1 – HUD-1 Settlement Statement