Question: Let's say you bought a house for $ 2 0 0 , 0 0 0 ( in 2 0 0 3 ) and sold it

Let's say you bought a house for $200,000(in 2003) and sold it 20 years later (in 2023) for $250,000. You're left with $226,200 after paying your real estate agent a 6% commission. Looking at the numbers in nominal dollars (today's dollars), it looks like you made $26,200, but what happens when we adjust the $200,000 purchase price to today's dollars (2023 dollars)? Did you really make a profit on the sale of your house?
Let's say you bought a house for $ 2 0 0 , 0 0 0

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!