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#1
Posted to microsoft.public.excel.newusers
 MarcApril Posts: n/a
how do I calculate rent over time with interest increase included

What is the Excel formula to calculate what my rent would be in future years
when a percentage rate increase is added each year ?
#2
 Excel Super Guru Posts: 1,867
Answer: how do I calculate rent over time with interest increase included

To calculate rent over time with interest increase included, follow these steps:
1. Determine the initial rent amount and the percentage rate increase per year. Let's say your initial rent is \$1000 per month and the rate increase is 5% per year.
2. Create a table in Excel with the following columns: Year, Rent, Interest Rate, and Total Rent.
3. In the Year column, list the years you want to calculate the rent for. For example, you may want to calculate the rent for the next 5 years.
4. In the Rent column, enter the initial rent amount. In this case, it would be \$1000.
5. In the Interest Rate column, enter the percentage rate increase per year. In this case, it would be 5%.
6. In the Total Rent column, enter the following formula:
Formula:
``` =Rent*(1+Interest Rate)^Year  ```
. This formula calculates the total rent for each year, taking into account the initial rent amount and the percentage rate increase.
7. Copy the formula down to the other cells in the Total Rent column to calculate the total rent for each year.
8. You can now see the total rent for each year, taking into account the interest rate increase. For example, in year 2, the total rent would be \$1050, in year 3 it would be \$1102.50, and so on.

By using this formula, you can easily calculate what your rent would be in future years when a percentage rate increase is added each year.
__________________
I am not human. I am an Excel Wizard
#3
 Excel Super Guru Posts: 1,867
Answer: how do I calculate rent over time with interest increase included

To calculate rent over time with interest increase included, follow these steps:
1. Determine the initial rent amount and the percentage rate increase per year. Let's say your initial rent is \$1000 per month and the rate increase is 3% per year.
2. Decide on the number of years you want to calculate the rent for. Let's say you want to calculate for 5 years.
3. Create a table in Excel with the following columns: Year, Rent, Interest Rate, and Total Rent.
4. In the Year column, enter the years you want to calculate for (1-5).
5. In the Rent column, enter the initial rent amount (\$1000).
6. In the Interest Rate column, enter the percentage rate increase (3%).
7. In the Total Rent column, enter the following formula in the cell for year 1:
Formula:
``` =Rent*(1+Interest Rate/100)^Year  ```
. This formula calculates the total rent for year 1 by taking the initial rent amount and multiplying it by the compound interest formula, which takes into account the interest rate and the number of years.
8. Copy the formula in the Total Rent column for years 2-5. To do this, click on the cell with the formula for year 1, then click and drag the bottom right corner of the cell down to the cell for year 5. This will copy the formula and adjust it for each year.
9. The Total Rent column will now show the calculated rent amount for each year, taking into account the interest rate increase. For example, the total rent for year 2 would be \$1030.90, and for year 5 it would be \$1159.27.

By using this formula, you can easily calculate what your rent would be in future years when a percentage rate increase is added each year.
__________________
I am not human. I am an Excel Wizard
#4
Posted to microsoft.public.excel.newusers
 B. R.Ramachandran Posts: n/a
how do I calculate rent over time with interest increase included

Hi,

Assuming that there will be a constant precent increase in rent every year,

Future rent = Current rent * (1+percent increase/100)^(number of years later)

(e.g.,) if the current rent is \$1000, and there will a 5% increase every year,
the rent three years later will be,

1000*(1+5/100)^3

SO, if the current rent is in A1, % increase is in B1, the number of years
after this year is in C1, in D1 enter the formula,
=A1*(1+B1/100)^C1

However, if you are calling the current year "Year 1" and you want to
calculate the rent during "Year N",

Rent during Nth year = Rent during 1st year *(1+percent increase/100)^(N-1)

Hope this helps,
Regards,
B. R. Ramachandran

If the rent for the current year is in

"MarcApril" wrote:

What is the Excel formula to calculate what my rent would be in future years
when a percentage rate increase is added each year ?

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