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Rent Roll Calculator

AAMI Calculator

What does one door really earn you in a year? Enter your average weekly rent and management fee. The AAMI updates as you type. Free, and nothing to sign up for.

Your numbers

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AAMI per door

$1,864

What one door earns you in management fees, a year

Total annual income

$186,401

Indicative value

$559,202

Value multiplier3.0x

Most books trade between 2.5x and 3.5x annual income.

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What AAMI actually is

AAMI is what a single door earns you in management fees over a year. Average weekly rent, times your fee, times the 52.14 weeks in a year. It is the number a rent roll gets priced on, and most principals never sit down and work it out until the day they decide to sell. Get it wrong and you either leave money on the table, or you scare off a buyer who runs the maths for themselves.

The formula

AAMI = Avg weekly rent × Mgmt fee % (ex GST) × 52.14

The 52.14 is simply the number of weeks in a year, 365 divided by 7. Annualising weekly rent on 52.14 rather than a rounded 52 keeps the figure exact. The whole book’s income is that number across every door: AAMI times the number of doors.

Worked example

Say your average door rents at $550 a week, on a 6.5% fee.

AAMI per door = 550 × 6.5% × 52.14 = $1,864

Across 100 doors, that is $186,400 in annual management income.

At a 3.0x multiplier, the book sits around $559,200.

Common questions

What is AAMI?+

AAMI stands for Average Annual Management Income. It is the management fee income a single managed property earns in a year. In rent roll sales it is the number everything else hangs off: value, price, and how one book compares to another.

How is AAMI calculated?+

Average weekly rent, times the management fee percentage excluding GST, times 52.14 weeks. That gives you AAMI per door. Multiply by the number of doors and you have the book’s total annual management income.

Why 52.14 weeks and not 52?+

A year is 365 days, which is 52.14 weeks once you divide by seven. Annualising weekly rent on 52.14 rather than a rounded 52 keeps the figure exact rather than a touch short.

How does AAMI relate to a rent roll’s sale value?+

Rent rolls sell on a multiple of annual management income. Take the total, AAMI times doors, apply a market multiplier commonly between 2.5 and 3.5 times, and you have an indicative price. The stronger the book, the higher the multiple it holds.

Should AAMI use fees including or excluding GST?+

Excluding GST, always. The GST you collect is not income, it goes to the ATO. Run AAMI on the fee including GST and you will overstate what the book earns.

AAMI is one number

It tells you what a door earns. It does not tell you what is dragging the book down. Your RolliScore rates the whole thing, yield, density, risk and compliance, out of 100.

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