Appreciation FAQs

What is appreciation? Appreciation is the tendency for property value to go up over time. What is a reasonable appreciation rate when modeling Nomad? According to Zillow research the historic average appreciation rate is approximately 3% nationwide. When modeling Nomad generically… not for a specific area… I recommend using this 3% appreciation rate. There probably are other markets where I’d recommend lower the estimated appreciation rate to be less than 3%. To be conservative, even in markets where I’d expect appreciation to be higher than 3% per year (like the Northern Colorado market), I would still NOT recommend using higher … Read more