1. What is Property Percentage Increase?

Property percentage increase measures how much a property's value has grown over time, expressed as a percentage of its original value. It's a key metric for real estate investors, homeowners, and appraisers to evaluate investment performance.

2. How Does the Calculator Work?

The calculator uses the percentage increase formula:

Where:

• New Value — Current property value
• Old Value — Original property value

Explanation: The formula calculates the difference between values, divides by the original value to get relative change, then converts to percentage.

3. Importance of Percentage Increase Calculation

Details: Tracking property value changes helps in assessing investment returns, determining capital gains taxes, making selling decisions, and refinancing evaluations.

4. Using the Calculator

Tips: Enter both property values in the same currency. The old value must be greater than zero. Values can be adjusted for inflation for more accurate comparisons.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good percentage 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 does this differ from ROI?
A: Percentage increase looks only at value change, while ROI considers all costs (purchase price, improvements, taxes) relative to gains.

Q3: Should I use purchase price or adjusted basis?
A: For investment analysis, use purchase price. For tax purposes, use adjusted basis (purchase price + improvements).

Q4: How often should I calculate this?
A: Annually for general tracking, or when considering selling/refinancing. More frequent in volatile markets.

Q5: Does this account for inflation?
A: No, this shows nominal increase. For real increase, adjust values for inflation before calculating.