Per State Stature 1C6-1.1-4-39(b-d), the GRM Method is the preferred method for valuing rental properties. Once the parcel is identified, the information is obtained and it is verified that there is no homestead on file, the Gross Rent Multiplier (GRM) value will be compared to the Cost Approach Valuation Method for the next assessment year and the lower of the two values will be assigned as the assessment.
The Gross Rent Multiplier (GRM) is determined by taking the median sale price of rental properties and dividing that number by the median rent that is received. The GRM is then multiplied by the median rent to create the assessment. Each area will have a different GRM, based on the sale prices and market rents of each area. Prior to the 2023 assessment year, our GRMs and the market rents used had not changed for many years, even though the market rents and sale prices began ticking upward around 2020.
The Assessors office collected hundreds of updated rental worksheets for the 2023 assessment year. The number of sales of rental properties also increased, which provided more accurate data to use to create the GRM. Sales between 2020 and 2023 were used to capture the most accurate information possible.
The rental form must be updated every two years to ensure accurate and consistent data. If a landlord is leasing the property below market rent, to a senior , people on a fixed income, or to a family member for free please make sure we are aware of this as well. This could affect the overall assessment and would be look at on an individual basis.
Each year we compare the assessed value of the property using the GRM method and the Cost Method. Whichever method is lower in value, that value is used for that years assessment. For these reasons it is imperative that we receive the most accurate data when requested. Please note: These methods cannot guarantee you will get a lower assessed value.
2023 Updated Rents - GRM for Single Family Rentals | ||||||
Parcel Count | Name | Rent Minimum | Rent Median | Rent Maxium | GRM | Median Sale Price |
58 | Brown TWP (01) | $750 | $1,575 | $2,400 | 151 | $257,500 |
17 | Center Twp (02) | $800 | $1,250 | $1,700 | 135 | $305,000 |
169 | Danville & Danville/Wash (17/30) | $800 | $1,325 | $2,321 | 144 | $149,500 |
14 | Clay Twp (03/13/16) | $800 | $885 | $920 | 130 | |
16 | EEL River Twp (04,19,28) | $600 | $700 | $775 | 124 | $285,500 |
8 | Franklin Twp (05,22) | $850 | $875 | $900 | 140 | |
69 | Guilford Twp (06-ONLY) | $900 | $1,400 | $1,995 | 125 | $144,000 |
290 | Plainfield & PLFD/Liberty (21,27) | $1,100 | $1,600 | $2,500 | 125 | $170,777 |
42 | Liberty Twp (07,15) | $700 | $1,000 | $1,800 | 120 | $145,950 |
124 | Lincoln Twp (08-ONLY) | $960 | $1,650 | $2,345 | 133 | $182,250 |
294 | Brownsburg & BRBG Washington (14,32) | $800 | $1,500 | $2,500 | 136 | $225,000 |
8 | Marion Twp (09) | $800 | $825 | $1,200 | 119 | |
15 | Middle Twp & BRBG/Middle (10,26) | $850 | $850 | $850 | 112 | |
32 | Pittsboro & Pitts/Brown (20,29) | $750 | $1,465 | $2,245 | 150 | $205,000 |
14 | Union Twp (11,18) | $625 | $900 | $1,250 | 130 | $245,000 |
422 | Washington Twp (12-ONLY) | $1,200 | $1,650 | $2,650 | 140 | $183,823 |
248 | Avon & Avon/Lincoln (23,31) | $1,100 | $1,850 | $2,685 | 134 | $252,995 |
131 | Plainfield/Washington (25-ONLY) | $1,200 | $1,800 | $2,450 | 134 | $235,000 |
94 | Brownsburg/Brown (24-ONLY) | $1,250 | $1,700 | $2,685 | 132 | $200,000 |
8 | Plainfield/Liberty | $1,700 | $2,300 | $2,750 | 145 |
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