ROI Calculator
Total return on an investment, and the annualized rate if you enter how long you held it.
ROI vs. annualized return
ROI is the simple percentage gain: (final - initial) ÷ initial. It ignores time, which makes a 45% gain sound identical whether it took 3 years or 15. The annualized figure (CAGR) fixes that: (final ÷ initial)1/years - 1, the constant yearly rate that would produce the same result. 45% over 3 years is 13.2% a year; over 15 years it's just 2.5%.
Remember the costs
For an honest ROI, the initial figure should include fees, commissions and taxes paid, and the final value should be net of selling costs. On property, include renovation and holding costs; those routinely turn a headline 50% gain into a real 20%.