Appraisal - Important Calculations

Question 1

Gross Rent Multiplier (GRM)

Answer 1

Sale $ or Gross Rent Income or Value = GRM x GRI

Question 2

Gross Income Multiplier (GIM)

Answer 2

Sale $ or Gross Income or Value = GIM x Gross Income

Question 3

Loan to Value (LTV)

Answer 3

Loan Amount / Value

Question 4

Depreciation - Age/Life Method

Answer 4

Effective Age/Economic Life

Question 5

Potential Gross Income (PGI)

Answer 5

All rental income + other income

Question 6

EGI

Answer 6

PGI-Vacancy & Collection Loss

Question 7

NOI

Answer 7

EGI-OE

Question 8

IRV (Income,Rate, Value)

Answer 8

I=RXV

Question 9

Net Income Ratio (NIR)

Answer 9

NOI/EGI

Question 10

Break Even Ratio (BER)

Answer 10

OE+Annual Debt Service/PGI

Question 11

Operating Expense Ratio (OER)

Answer 11

Expense/EGO

Question 12

Township

Answer 12

36 Sections
1 Section = 640 acres
1 Section = 1 Square Mile

Question 13

1 yard

Answer 13

3 feet

Question 14

1 square yard

Answer 14

9 feet

Question 15

1 mile

Answer 15

5280 ft

Question 16

HP12 - Percentage

Answer 16

300’s 40% = 300 (enter) 40 (%)

Question 17

HP12 - Percentage Change

Answer 17

58.50 to 53.25 = 58.25 (enter) 53.25 (triangle %)

Question 18

HP12 - Percentage Net Amount

Answer 18

13250,8% discount, sales tax 6% =

13250(enter) 8(%) (-) 6(%) +