Maybe you started with a silver spoon so don't know any better, but not all poor people are indecent.Exodallas is looking at a deal that has a monthly Gross Rent Multiplier (GRM) of 44, while the $62,500 house you would rent for $1,000 is only a 62.5 monthly GRM.

Ask Lincoln Park sellers if they bought in 80's or even 90's will be multiplying their money.

I may think I should give that factor more weight by multiplying it by lets say 1.5.        1.5 * 6= 9      I then add 9 instead of 6 to the properties overall priority score,Lets now say a property scores 6 just like the other property except this time on owner name.

They could be betting that they will get MORE from those monthly fees (multiplied by the number of their newbie Agents who may hardly ever close a deal anyway), than they might by getting many fewer newbies to sign up if they only offer split commissions! 

Odds are that a few weeks of random market fluctuations upwards to rate will be waaay less than a bunch of rate lock extension fees multiplied by 7 loan amounts.

Instead I use GIM (gross income multiplier). 

That's awesome my friend. 2X equity multiplier - wooo hooo!

What GRM range should one stay in when buy multi families and mobile home parks?

Thanks

Jordan

I used a multiplier to assume taxes increase to about 9,600 based in the purchase price, added in rent increases of 350 per unit which is the average of your estimates.

For the new loan they look at the estimated rent, multiply by 75% and subtract PITI.DTI with rentals works differently than other debt.