1. What is Property Value Increase?

Property value increase represents the appreciation in value of a property over time. It's calculated by subtracting the original purchase price (old value) from the current market value (new value). This metric is important for homeowners, investors, and tax assessment purposes.

2. How Does the Calculator Work?

The calculator uses a simple formula:

Where:

• New Value — Current market value of the property
• Old Value — Original purchase price or previous valuation

Explanation: The calculation shows the absolute dollar amount increase in property value. For percentage increase, divide the increase by the old value and multiply by 100.

3. Importance of Tracking Value Increase

Details: Tracking property value increase helps in making informed decisions about selling, refinancing, or home equity loans. It's also important for tax purposes and investment analysis.

4. Using the Calculator

Tips: Enter both values in dollars without commas. The calculator will show the difference between the new and old values. Negative results indicate a decrease in value.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good property value increase?
A: This varies by market, but typically 3-5% annual increase is considered healthy in stable markets. Hot markets may see higher increases.

Q2: How often should I check my property value?
A: For most homeowners, checking annually is sufficient unless you're considering selling or refinancing.

Q3: What factors affect property value increase?
A: Location, market conditions, property improvements, neighborhood development, and economic factors all influence value changes.

Q4: Does this calculator account for inflation?
A: No, this shows nominal increase. For real value increase, you'd need to adjust for inflation separately.

Q5: Can I use this for rental properties?
A: Yes, this calculator works for any type of real estate property - primary residences, rentals, or commercial properties.