$100,000 Property Sold for $200,000 After 10 Years: ROI Calculator
What's the ROI and annualized return on a $100,000 property sold for $200,000 after 10 years? Calculate your real estate investment performance.
Annualized ROI (CAGR)
+7.18% / year
A property purchased for $100,000 and sold for $200,000 after 10 years produces a simple ROI of 100% — you doubled your money. In dollar terms, that is a $100,000 profit. The annualized return (CAGR) for this scenario is approximately 7.18% per year, which happens to be very close to the long-run historical average of U.S. real estate appreciation and the inflation-adjusted stock market return. It is a solid, realistic outcome for a buy-and-hold property investment.
Doubling in 10 years follows the Rule of 72: divide 72 by the annual growth rate to estimate how long it takes to double. At 7.18%, 72 / 7.18 ≈ 10 years — confirming the math. This rule is a useful mental shortcut for quickly estimating annualized returns without a calculator. A property that doubled in 8 years would have a CAGR closer to 9%; one that took 14 years would be around 5%.
Keep in mind that this calculation covers only the appreciation component of real estate returns. A full real estate ROI analysis would also account for rental income, property taxes, maintenance costs, mortgage interest, and transaction costs (typically 5–8% of sale price). For a leveraged purchase — where the $100,000 represents a 20% down payment on a $500,000 property — the actual return on equity would be dramatically higher due to the leverage effect.
What is the ROI on a $100,000 property sold for $200,000 after 10 years?
The simple ROI is 100% (a $100,000 gain on a $100,000 investment). The annualized return (CAGR) is approximately 7.18% per year. This is a doubling of value over a 10-year hold, which matches the Rule of 72 at a ~7% growth rate.
Does this ROI calculation include rental income and costs?
No — this calculator measures price appreciation only. A complete real estate ROI would add rental income and subtract mortgage payments, property taxes, maintenance, insurance, and transaction costs. Including those factors could significantly raise or lower the effective return depending on the property's cash flow profile.
How does real estate ROI compare to stock market returns?
The 7.18% CAGR in this scenario is close to the long-run inflation-adjusted S&P 500 return of approximately 7%. However, real estate returns vary widely by location and property type. Stocks offer higher liquidity and lower transaction costs; real estate can benefit from leverage and tax advantages (mortgage interest deduction, depreciation, 1031 exchanges).