Hi all,
Just wondering what is the formula for annual growth calculating?
I have the history of sales figures for 2 different properties and want to compare them equally.
How is this done most accurately.
cheers,
N
Property valued at $100,000 1 year ago. Now valued at $110,000
The growth would be $10,000 so annual growth would be 10% ($10,000/$100,000)
But don't forget these figures for annual growth no not include improvements done to a property, so they can be misleading. eg. in the above property the owner could have put in a $20,000 pool and a $5,000 kitchen so it may really be negative growth
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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