What type of rent can be achieved when leasing a property in an open and competitive market?

Market rent refers to the amount of rent that a property could reasonably expect to achieve in an open and competitive rental market, where supply and demand dynamics dictate pricing. This concept reflects what tenants are willing to pay for similar properties in that area, considering various factors such as location, amenities, and overall market conditions.

When a property is leased at market rent, it indicates that the rent aligns with current trends and standards within the local real estate market, ensuring that both landlords and tenants are engaged in fair transactions based on prevailing rates. This contrasts with other types of rent, which might be fixed by contracts, laws, or agreements that don't necessarily reflect current market conditions. Understanding market rent is essential for both investors and tenants to make informed decisions in their real estate endeavors.