How to Calculate Real Estate Appreciation
- Future Growth= (1 + Annual Rate)^Years. The first step involves calculating future growth in the value of real estate by figuring out the annual rate. …
- Future Value= (Future Growth) x (Current Fair Market Value)
Greater Toronto Area has seen a steady acceleration in the annual rate of home value growth in the last 50 years. The average home value has doubled in Toronto after every 9-10 years. There had been some market corrections in the past the prices growth has always been in the range of 6 to 7.5% on year over year basis.
The MLS® Home Price Index Composite Benchmark was up by 5.8 per cent on a year-over-year basis in October 2019 – the strongest annual rate of growth since December 2017. The average selling price for all home types combined was up by 5.5 per cent to $852,142, compared to $807,538 in October 2018. As market conditions in the GTA have steadily tightened throughout 2019, we have seen an acceleration in the annual rate of price growth. Check out your online free home valuation.
