What will my home appreciation be?
Type your home's value and a yearly appreciation rate to see its value each year, or type what you paid and what it is worth now to find the yearly rate.
- Home value
- $592,097.71
In 10 years the home is worth $592,097.71, a gain of $192,097.71.
- Total appreciation
- $192,097.71
- Total change
- 48.02%
- Yearly appreciation rate
- 4%
- Years
- 10
Home value: $592,097.71. In 10 years the home is worth $592,097.71, a gain of $192,097.71.
Home value year by year
Value at the end of each year
The results are estimates for information only. They are not financial, tax, or legal advice. Check the numbers with your lender or a qualified professional before you decide. Terms of use
How to calculate
Projects a home’s value year by year at a yearly appreciation rate, or finds the yearly appreciation rate from the purchase price, today’s value and the years owned.
Example with the default inputs (Find Future value, Home value now (or price paid) $400,000.00, Yearly appreciation 4%, Years 10): In 10 years the home is worth $592,097.71, a gain of $192,097.71.
Method: Value after n years = P × (1 + r ÷ 100)ⁿ; rate = ((end ÷ start)^(1/n) − 1) × 100; gain = end − start.
- The value changes at one steady rate, compounded once a year. Real prices rise and fall from year to year.
- The rate is what you type; no live market data. Indexes such as the FHFA House Price Index show past changes by area.
- Costs of owning and selling (taxes, upkeep, fees) are left out.
Worked examples
Each example is checked against the calculator on every build.
- Find Future value, Home value now (or price paid) $400,000.00, Yearly appreciation 4%, Years 10 gives Home value $592,097.71, Total appreciation $192,097.71.Source: U.S. Securities and Exchange Commission, Investor.gov, Compound Interest Calculator (A = P(1 + r)ⁿ). https://www.investor.gov/financial-tools-calculators/calculators/compound-interest-calculator
- Find Appreciation rate, Home value now (or price paid) $300,000.00, Value today $450,000.00, Years 8 gives Yearly appreciation 5.198951%, Total appreciation $150,000.00, Total change 50%.Source: U.S. Securities and Exchange Commission, Investor.gov, Compound Interest Calculator (A = P(1 + r)ⁿ). https://www.investor.gov/financial-tools-calculators/calculators/compound-interest-calculator (solved for r)
- Find Future value, Home value now (or price paid) $250,000.00, Yearly appreciation -2%, Years 3 gives Home value $235,298.00, Total appreciation -$14,702.00.Source: U.S. Securities and Exchange Commission, Investor.gov, Compound Interest Calculator (A = P(1 + r)ⁿ). https://www.investor.gov/financial-tools-calculators/calculators/compound-interest-calculator; Federal Housing Finance Agency, FHFA House Price Index (a repeat-sales index of single-family home values). https://www.fhfa.gov/data/hpi (prices can fall)
How it works
Future value. The value grows once a year at the yearly rate r (in percent):
- Value at the end of year k = value now × (1 + r ÷ 100)ᵏ, for k = 1 to the number of years.
- Gain this year = value at the end of year k − value at the end of year k − 1.
- Total appreciation = value at the end − value now; total change = that ÷ value now × 100.
Each year's value is one power of the yearly factor (100 + r) ÷ 100, in double precision, so rounding does not build up from year to year; the headline is the last year's value.
Appreciation rate. From the price paid P, the value today V and the years n:
- Yearly rate = ((V ÷ P)^(1/n) − 1) × 100, in double precision. The table's value at the end of year k is P × ((V ÷ P)^(1/n))ᵏ in double precision; the headline and the total gain use V and P exactly.
Output format. Money to the cent, the total change with at most 2 decimals and the rate with at most 3, rounded half up. A value of 10³⁰⁰ or more has no answer.
Assumptions
- One steady rate, compounded once a year; real prices move up and down.
- Values from $1 to $10,000,000,000; rate from −50% to 50%; 1 to 100 years. No live market data: you type the rate.
- Costs of owning and selling, and taxes, are left out.
Worked examples by hand
$400,000 at 4% for 10 years. 1.04¹⁰ = 1.4802442849; 400,000 × 1.4802442849 = $592,097.71; gain $192,097.71 (48.02%).
Bought for $300,000, worth $450,000 after 8 years. 450,000 ÷ 300,000 = 1.5; 1.5^(1/8) = 1.0519895; rate 5.199% a year; gain $150,000 (50%).
$250,000 falling 2% a year for 3 years. 0.98³ = 0.941192; 250,000 × 0.941192 = $235,298; change −$14,702.
Other questions people ask
How do I calculate home appreciation?
Grow the value by the yearly rate once a year: value after n years = value now × (1 + rate)ⁿ. A $400,000 home that gains 4% a year is worth 400,000 × 1.04¹⁰ = $592,097.71 after 10 years.
How do I find my home's yearly appreciation rate?
Divide today’s value by the price you paid, take the root for the years owned, and subtract 1: rate = (value ÷ price)^(1/years) − 1. A home bought for $300,000 and worth $450,000 after 8 years grew 5.20% a year.
What rate should I use?
There is no single right rate; prices change by area and by year. The FHFA House Price Index publishes past changes for states and cities, which can guide the rate you type. The calculator does not fetch any market data.
Why is the total gain more than rate × years?
Appreciation compounds: each year’s gain is on the higher value of the year before. Ten years at 4% adds 48.02%, not 40%.
Can a home lose value?
Yes. Type a negative rate to see a fall. A $250,000 home that loses 2% a year for 3 years is worth 250,000 × 0.98³ = $235,298.
Does appreciation equal my profit when I sell?
No. Selling costs, mortgage interest, property tax, insurance and upkeep all come out of the gain, and the IRS rules on the home sale exclusion decide any tax. This calculator shows the change in value only.