Final answer:
The statement is true; residential rental real estate is characterized by having 80% or more of its net rental revenue coming from nontransient dwelling units, meaning those that are rented out for long-term occupancy.
Step-by-step explanation:
The statement that residential rental real estate includes property where 80% or more of the net rental revenues are from nontransient dwelling units is True. Residential rental real estate is generally defined as property rented for long-term occupancy. This classification requires that a certain percentage of revenue comes from nontransient tenants, typically those who have signed leases for an extended period, such as six months or more.
Therefore, rental properties aimed at permanent or long-term residents, rather than hotels or vacation rentals which are transient in nature, are seen as residential rental real estate if they meet the 80% revenue threshold. It's important for investors and operators to understand this classification as it affects the taxation and regulation of the property.