There was a 125% change in the price of the house.
The changed price was an increase of from the original 100,000 therefore the answer can be concluded to be above 100%.
Anyways, to solve this problem you need to find what 125,000 is OF 100,000, meaning you need to divide. 125,000/100,000=1.25. 1.25 can then be changed into 125%.