What is comparative rent in SAP RE - Real Estate Management?

SAP Term: comparative rent

• Component: RE

• Component Name: Real Estate Management

• Description: Under German law, rent used as a basis for the rent adjustment of privately financed apartments. The landlord must seek the tenant's prior approval before adjusting the rent.

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• Key Concepts: 
  Comparative rent is a term used in SAP Real Estate Management (RE-FX) to refer to the rent that a tenant pays for a property compared to the market rate. It is calculated by taking the actual rent paid by the tenant and dividing it by the market rate for the same property. This calculation helps landlords and tenants to determine if they are paying a fair amount for their rental agreement.
  
  How to use it: 
  In SAP RE-FX, comparative rent can be calculated by entering the actual rent paid by the tenant and the market rate for the same property into the system. The system will then calculate the comparative rent and display it on the screen. This information can then be used to determine if the tenant is paying a fair amount for their rental agreement.
  
  Tips & Tricks: 
  When calculating comparative rent, it is important to make sure that both the actual rent paid by the tenant and the market rate for the same property are up-to-date. This will ensure that an accurate calculation is made and that both parties are paying a fair amount for their rental agreement.
  
  Related Information: 
  For more information on comparative rent in SAP RE-FX, please refer to SAP Help documentation or contact your local SAP representative.