Part of rental investing is property appreciation. You don't want to count on appreciation too heavily but you can certainly benefit from it. Generally I expect real estate to appreciate roughly 3% annually long term. Of course that varies a lot from location to location and region to region but overall I think 3% is a decent baseline. As it turns out our rentals have appreciated about 3% total thus far.
I pulled price values off of Zillow and also referred to the site to get our original purchase dates and years. Using that I figured our current growth rate on the properties values:
Here's the table :
4 of our properties are up in value and one has lost value. The cheaper two properties are up significantly more. The other two properties are up 2-3% range.
If I sum up the total amount paid versus the total current value and then use 2002 as a rough average purchase date then the growth comes out to 2.9% for the lot.