Vessel Tutorial
Share
Explore
Tutorial of Math

icon picker
Interim Home Value

To calculate and (the next two concepts), we need an estimate of the home value at each year until the property is sold. Annual appraisals would be too expensive, so we estimate subsequent years' home value as the original appraised value, adjusted upwards or downwards in proportion to the regional home price index's change to arrive at the "interim home value" at any give year.
Next Topic:
Adjust the sliders below to try it out.
Input:
Initial Appraised Value
$
0000000
500000
Home Price Index at investment date (year 0)
000
200
Home price Index at year n:
000
220
Output:
Interim Home Value at year n.
=$
500000
* (
220
/
200
)
=$
500000
*
1.1
=$
550000
Next Topic:

More Info about Interim Home Value

Interim Property Value at year n = Initial Appraised Value * (HPI at year n / HPI at time of appraisal).

Share
 
Want to print your doc?
This is not the way.
Try clicking the ⋯ next to your doc name or using a keyboard shortcut (
CtrlP
) instead.