The soil–structure interaction plays a crucial role in determining the displacement and internal forces of multi-story buildings subjected to strong ground motion. One of the critical dynamic characteristics influencing soil–structure interaction is the fundamental site period and the average shear wave velocity associated with it. This study introduces an original equation to determine these parameters. In addition, for the first time in the literature, the version of the Rayleigh method used for finding the fundamental periods of buildings is used to find the fundamental site period. The soil is modeled as an equivalent shear beam to obtain the proposed equation. The peak displacement is obtained by acting the soil mass as an external load on the equivalent shear beam. For single-layer soil, the fundamental site period is proportional to the square root of the peak displacement of the equivalent shear beam. The least squares method generalizes the proposed relation for single-layer soils to multi-layer soil profiles. Modified Finite element Transfer matrix method is used for calibration in the least squares method. The equations used in the literature and earthquake codes for determining the fundamental site period and average shear velocity are tested on various examples, and it is shown that the method proposed in this study, along with the Rayleigh method, gives better results than these equations. The performances of these two methods and the five commonly used equations are tested and compared on different soil profiles. Transfer functions, Finite Element Method (SAP200) and Modified Finite Element Transfer Matrix Method are used for verification. For all soil profiles, the results obtained from the transfer function, Finite Element Method (SAP200) and Modified Finite Element Transfer Matrix Method are found to be in agreement. The true percent relative error found in the results obtained with the proposed method is 4.47%.