Real Estate Math

A New Mexico property was purchased for $225,000 and sold 4 years later for $280,000. What is the percentage appreciation?

A18.6%
B20.2%
C24.4%✓ Correct
D25.0%

Explanation

Appreciation = ($280,000 - $225,000) / $225,000 = $55,000 / $225,000 = 0.2444 = 24.

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