How to value my fourplex in a C neighborhood

[Mike Geier]

Hi BP,

We have a 4 plex that rents for 700-850 per unit.  The local market sees anywhere from 1-2% rent to price ratios. 

Let's say i get 750 per unit. That makes $36,000 per year in gross rent. Conservatively, i'll use a GRM of 8.333 (1%) to give me a valuation of $300,000.

Where does vacancy factor in? Capex?

Is this correct?  How might I more accurately value the building and how should I price the building for sale?