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Formula & explanation
Real Estate Calculator uses the following calculation:
This is a simplified model intended for planning and education. Real-world offers from lenders, institutions, or tax authorities may include additional fees, rules, or adjustments not reflected here.
Frequently asked questions
Is 3–4% a realistic appreciation rate?
Long-run US home price appreciation has historically averaged in that range nationally, though it varies widely by market and time period.
What closing costs should buyers expect?
Typically 2–5% of the purchase price, covering items like loan origination, title insurance, appraisal, and recording fees.
Does this account for renovations or market downturns?
No — it's a straight-line projection assuming a constant appreciation rate, which real markets rarely follow exactly.