How is Effective Gross Income (EGI) typically expressed?

Effective Gross Income (EGI) is typically expressed as a percentage of potential income. This metric provides a comprehensive view of the income a property generates after accounting for vacancies and collection losses. By comparing EGI to potential income, analysts can evaluate how well a property operates in terms of income realization.

When considering potential income, it encompasses all possible rental income the property could generate if it were fully leased without any losses. EGI reflects the actual income received minus vacancy losses and other deductions. This relationship is crucial for property managers and investors as it highlights the effectiveness of the management strategies in place and helps in assessing the property's value and performance.

The other choices do not accurately relate to how EGI is assessed. While it might seem plausible to express income in terms of dollar amounts or in relation to market value, EGI is fundamentally focused on the operational income aspect as opposed to metrics that relate to physical characteristics or nominal rates.