Valuation
IRV Formula
A concise definition for the California Real Estate Exam study guide.
Definition
IRV relates Income, Rate, and Value: Income ÷ Rate = Value; Income ÷ Value = Rate; Rate × Value = Income. If two variables are known, solve for the third.
Why it matters on the California real estate exam
Know the definition, recognize how the term appears in a fact pattern, and compare it with related concepts before choosing an answer.
Study this topic in context
Read the related chapter for the surrounding concepts, examples, and exam tips.
Chapter 6: Valuation & Appraisal →