/// PRICE ÷ ANNUAL GROSS INCOME · THE FIRST FILTER
GRMcalculator.
Crude but fast: the first filter every LA multifamily buyer runs.
Gross Rent Multiplier
12.50
Monthly income
$13,333
GRM only ranks buildings by price against gross income. It says nothing about expenses, vacancy or how far under market the rents are. Compare it against the live numbers on the submarket data pages.
Estimate for underwriting, not investment or tax advice. Check every figure against the rent roll, the loan terms you are actually quoted, and your own accountant.