For which type of property would gross rent multiplier be calculated?

The gross rent multiplier (GRM) is a valuation method that is primarily applied to rental properties. It assesses the relationship between the rental income a property generates and its value. The GRM is calculated by dividing the property's sale price by its gross rental income. This method is particularly useful for assessing income-generating properties where rental income is the main factor in determining value.

For a duplex used as a rental property, applying the GRM is appropriate because it is specifically designed for properties that generate rental income. The performance of the property as a rental unit is central to its value, making GRM a suitable valuation tool. In contrast, the other options, such as an apartment building, condominium building, and owner-occupied single-family homes, might also produce rental income but may not focus primarily on that aspect in the same way. Therefore, while GRM can be adapted for these properties, it is most clearly relevant and applicable to the duplex scenario presented.