What CG is this?

[Elke]

Hi there
Request help to calc CG on a property.
PP $290k in 2007.
Now worth $370k.
Is there a formula to calc growth? Ta

 

[Propertunity]

Hi there
Request help to calc CG on a property.
PP $290k in 2007.
Now worth $370k.
Is there a formula to calc growth? Ta

The calculation is:
(370 - 290)/290/(2013 - 2007)*100% = 4.59% pa

 

[alexlee]

Compounded it looks worse:

=(370000/290000)^(1/6)-1 = 4.14%

 

[Elke]

Hi PU
Thanks for your quick response!!
Is that typical for Illawarra in past 6 yrs? What was Syd 'average' in past 6 yrs? I know it's many markets, but to make us feel better, I'm hoping other CG was low. To me this property seems very low CG. At that rate how long will it take to double in value?? Is there a formula for that too?

Thanks.

 

[redwing]

Rule of 72?

Years to double = 72 / Interest Rate