Gross Rent
Definition:
Gross rent is the total amount of rent that a landlord collects from a tenant, before any deductions for taxes, insurance, or maintenance. It is a key metric in the rental property industry, as it is used to calculate the return on investment (ROI) for rental properties.
Formula:
Gross Rent = Total Amount of Rent Collected
Example:
Gross rent can be affected by a number of factors, including the location of the property, the size of the units, and the amenities offered. For example, a property in a desirable location with large units and a pool will likely command a higher rent than a property in a less desirable location with small units and no amenities.