Loss of Rent Calculator

Formula

The formula to calculate the Loss of Rent (LOR) is:

\[ LOR = MR - AR \]

Where:

$LOR$ is the Loss of Rent ($/month)
$MR$ is the market rent ($/month)
$AR$ is the actual rent ($/month)

Loss of Rent Definition

Loss of Rent is the difference between the market rent and the actual rent charged for a unit. It represents the potential income lost due to charging less than the market rate.

Example Calculation

Let's assume the following values:

Market Rent (MR) = $1500/month
Actual Rent (AR) = $1200/month

Using the formula to calculate the Loss of Rent (LOR):

\[ LOR = 1500 - 1200 = 300 \]

The Loss of Rent (LOR) is $300/month.