software

I am new to Excel but am using it to help evaluate real estate property
values. One of the ways I evaluate a property is to look at a
neighborhood's appreciation rates and then calculate a houses current
market value (roughly) based on appreciation rates obtained from a
subscription service and sales history. The problem I have is the
appreciation rates are provides as a gross appreciation rate from 1990
to present and my data for a given property is for some subsection of
that time (say from 1995); therefore, I need to break the gross
appreciation rate down into an annual compound interest rate.

Given a gross appreciation rate over a given period of time (say, 87%
over 15 years), how can I calculate the annual compound appreciation
rate?

Thanks,
DaveHo Dave,

=RATE(15,,100,-187)

--
Kind regards,

Niek Otten

quot;Dave Robertsquot; gt; wrote in message ups.com...
gt;I am new to Excel but am using it to help evaluate real estate property
gt; values. One of the ways I evaluate a property is to look at a
gt; neighborhood's appreciation rates and then calculate a houses current
gt; market value (roughly) based on appreciation rates obtained from a
gt; subscription service and sales history. The problem I have is the
gt; appreciation rates are provides as a gross appreciation rate from 1990
gt; to present and my data for a given property is for some subsection of
gt; that time (say from 1995); therefore, I need to break the gross
gt; appreciation rate down into an annual compound interest rate.
gt;
gt; Given a gross appreciation rate over a given period of time (say, 87%
gt; over 15 years), how can I calculate the annual compound appreciation
gt; rate?
gt;
gt; Thanks,
gt; Dave
gt;
Niek,

Thank you. I notice that this seems to round to the nearest
percentage, how can I get the result accurate to two decimal places
(i.e., 7.05% vs. 7%)

Thanks,
DaveHi Dave,

Formatgt;Cellsgt;Numbergt;Percentage, choose the number of decimal places.

BTW it doesn't round, it just doesn't show all the digits. Try calculating
with it (1 year's interest) and you'll see it has more digits than it shows.

--
Kind regards,

Niek Otten

quot;Dave Robertsquot; gt; wrote in message oups.com...
gt; Niek,
gt;
gt; Thank you. I notice that this seems to round to the nearest
gt; percentage, how can I get the result accurate to two decimal places
gt; (i.e., 7.05% vs. 7%)
gt;
gt; Thanks,
gt; Dave
gt;