Over time, the value of a piece of real estate will go up and down.
Over a long enough period of time, property values generally go up.
But, in real estate there are no guarantees.
When your home appreciates you have a more valuable asset to borrow against, and you'll generate a larger profit when you sell.
But how will you be sure what you're purchasing presently will appreciate over time? Property values in Huntsville vary for numerous reasons.
It's imperative that you go with a REALTOR® in Huntsville who is familiar with the factors that influence local prices.
What is the most influential factor impacting real estate appreciation? Many guess that it's the economy.
interest rates, unemployment, business growth, government programs and a handful of other national determinants have a measurable impact on your house's value.
However, your property's value and the aspects that play the biggest role in its appreciation are particular to the local Huntsville economy and housing market.
Access to services - Convenient access to schools, work and amenities like shopping, restaurants and entertainment is a big deal to many families and will greatly influence home values.
So these areas generally appreciate, or retain their value consistently, year to year.
Real estate sales trends - How long are homes on the market? What was the selling price compared to the listing price? A lot of data can often be obtained from public records, but a good agent with access to the local MLS will usually be able to provide a more complete picture.
Appreciation history - Have home prices gone up or down over the last 5-10 years? Is the neighborhood thought of as desirable because of its location or affordability?
Economic factors - Have companies moved into or away from an area? Are local businesses hiring? Is there a fair blend of jobs in an area, or does it rely upon just one industry?
These items play a role.