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Utilities Appreciation Rate

Annual growth rate for utility costs.

Example Result

Sample Data
3.00%

Based on a sample $385,000 property with $2,850/month rent, 20% down, 7% interest rate.

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Utilities Appreciation Rate Formula

User Input (percentage)
User Input (percentage)
3.00%

Platform Distribution

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Why It Matters

Utility costs can be a significant and growing expense, especially for properties where the landlord pays some or all utilities. Modeling a realistic growth rate helps you project whether a property will remain cash-flow positive long term.

Detailed Explanation

The Utilities Appreciation Rate models annual increases in utility expenses (electric, gas, water, sewer, trash). Utility costs have historically risen faster than general inflation in many markets due to infrastructure costs and regulatory changes.

Example

Sample Result
3.00%

Based on a sample $385,000 property with $2,850/month rent, 20% down, 7% interest rate.

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