Measuring Performance / Appreciation

[Sanjay Patel]

Hello, 

I would like the forums opinion on how you are measuring your profit in terms of price appreciation for buy and hold properties. For example, I recently sold a rental that was in my family for 35 years. Just to put example some numbers around it, net of all commissions, the price appreciated by a factor of 3 (e.g. $10k to $30k over the 35 year period).

My question is : would you measure your success based on compound rate of return (looks lower) or based on a simple interest model (looks better)? 

Ideally, I would like to be able to compare returns future buy and hold real estate, with my buy & hold stocks.

I understand that there are other important parts to this model (depreciation, expenses over time, etc.) but I want to start with the basics (just price appreciation).

Many thanks for your opinion.

Sanjay