Real Estate Math

A South Carolina investor bought a rental property for $220,000. After 4 years, it sold for $265,000. What was the total percentage appreciation?

A17.0%
B20.5%✓ Correct
C18.2%
D21.3%

Explanation

Appreciation = (Sale Price - Purchase Price) / Purchase Price = ($265,000 - $220,000) / $220,000 = $45,000 / $220,000 = 20.45% ≈ 20.

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