Include the purchase price plus closing costs, renovation expenses, and any other capital improvements. This gives a more accurate picture of your true cost basis and therefore a more realistic ROI.

This calculator focuses on capital appreciation. If you earned rental income, you can add the cumulative net rental profit to your final value to capture total returns from the property.

U.S. residential real estate has historically appreciated at about 3-5% per year on average. However, returns vary significantly by location, property type, and market conditions, with some areas seeing much higher or lower growth.