Real Estate Math

A home is purchased for $200,000. After two years, the owner sells it for $230,000. What is the percentage increase in value?

A10%
B12%
C15%✓ Correct
D18%

Explanation

Increase = $230,000 − $200,000 = $30,000. Percentage increase = $30,000 ÷ $200,000 = 0.15 = 15%. Using the values given ($200,000, $230,000), apply the appropriate formula.. The correct answer is 15%.. This is a common calculation on the Kentucky real estate exam.

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