Our Methodology

A projection estimates what a property would be worth if a chosen growth rate held steady. We produce projections — not forecasts. A projection says "here is what would happen if". A forecast attempts to predict what will happen. These are fundamentally different. We only produce the former.

Our calculators use compound annual growth rate (CAGR). Growth is applied to the running total each year, not just the original value.

Formula: Future Value = Present Value × (1 + Annual Growth Rate)^Years

Example: A property worth $800,000 at 6% annual growth would have an illustrative value of approximately $1,074,000 after 5 years — not $1,040,000 as simple interest would suggest. The $34,000 difference is compounding. Over 20 years, this effect is substantial.

We do not prescribe a correct rate. Australian residential property has historically grown at approximately 6–7% per annum across major capital cities over the long run — but this varies significantly by suburb, property type and decade. We recommend running the calculator at three rates: conservative (4–5%), moderate (6–7%) and optimistic (8–9%) to model a range of scenarios.

The Property Growth Calculator estimates equity by subtracting the original loan amount (purchase price minus deposit entered) from the projected future property value. This is a deliberately simplified estimate.

What this equity calculation does not include:

• Mortgage repayments made over the projection period
• Principal reduction through amortisation
• Refinancing or loan restructuring
• Offset account effects
• Additional repayments or redraws

A property owner who has made regular repayments over 10 years will have a significantly higher actual equity position than the calculator shows. For example, on a standard 30-year principal and interest loan, approximately 15–20% of the original loan principal is typically repaid after 10 years — equity the current calculator does not capture.

For a full amortisation view of your repayments, use the Mortgage Calculator.

Suburb profiles on Property Growth Aus contain real, verified market and demographic data where it's available — Market Snapshot and Demographics figures are drawn from Domain and public sources, and are only displayed once verified. Where a field hasn't been verified, it isn't rendered.

The deeper written analysis for each suburb — growth drivers, risks and FAQs — is being progressively researched and written suburb-by-suburb. Where that analysis isn't ready yet, the page displays a "Full suburb analysis coming soon" notice rather than filling the gap with generic text.

Our full source hierarchy:

• Level 1 — Official Public Data (preferred): Australian Bureau of Statistics (ABS), state government property sales data, government housing reports
• Level 2 — Licensed Industry Providers: Domain, SQM Research, CoreLogic, PropTrack, REA Group Research
• Level 3 — PGA Projections: Calculator outputs based on assumptions provided by users. These are calculations, not data.

Published data is labelled with its source, classification badge, last updated date and a link to this page.

Our calculators do not account for: property market downturns or corrections · interest rate changes · stamp duty and other purchase costs · agent fees and selling costs · renovation costs · vacancy periods · zoning or planning changes · economic recessions. These factors can significantly affect real-world outcomes.

No calculator can guarantee outcomes. Property markets are driven by factors that cannot be captured in a simple growth rate model. Our tools exist to help you understand the concept of compound growth and model hypothetical scenarios — not to predict markets.

Ask "what would happen if this rate holds?" — not "what will happen to my property?" Use the three-scenario approach: conservative, moderate and optimistic. Results are a starting point for a conversation with a professional, not a decision on their own.

All content and tools on Property Growth Aus are for informational and educational purposes only. Nothing on this website constitutes financial, investment, legal or tax advice. Property Growth Aus does not hold an Australian Financial Services Licence (AFSL). Property values can fall as well as rise. Past performance is not indicative of future results. Always seek advice from a licensed financial adviser, licensed property investment adviser or qualified legal professional before making any property or financial decision. For formal property valuations, consult a licensed valuer or your financial institution.