Rental Properties

The Income and Cost Approach are both used when assessing income-producing properties. When properties are purchased for investment purposes rather than owner occupancy, the State allows us to use a Gross Rent Multiplier when determining the assessed value. The Gross Rent Multiplier creates a direct relationship between the gross rent generated by a rental property and the sale price, or market value, allowing for assessments based on the investment potential.

Sale Price / Rent = Gross Rent Multiplier (GRM)

Rent * GRM = Assessed Value

If you would like to try a GRM, please fill out the Residential Rental Questionnaire and submit it, along with any leases or Schedule E, to our office/email.

Per IC 6-1.1-4-39, ".........If a taxpayer wishes to have the income capitalization method or the gross rent multiplier method used in the initial formulation of the assessment of the taxpayer's property, the taxpayer must submit the necessary information (rental questionnaire and copy of lease/Schedule E) to the assessor not later than the January 1 assessment date....."

Additional information regarding a GRM can be found here Gross Rent Multiplier FAQ