Over time, the value of a home will go up and down.
Typically, house values appreciate in the long term.
But there are no guarantees in real estate, of course.
When your home appreciates you have a more valuable asset to borrow against, and you'll realize a bigger profit when you sell.
But how do you know what you're buying presently will appreciate over time? Property values in South Bay & Palos Verdes change for various reasons.
The most important aspect is that you select an agent in South Bay & Palos Verdes who knows the factors that affect local prices.
The economy is assumed to be the major factor impacting real estate appreciation.
After all,
there are some issues on a national level that alter your property's value: unemployment, interest rates, quarterly earnings reports, and more.
But the most important factors that determine your home's value depend on the local South Bay & Palos Verdes economy and housing market.
Location in a community - Convenient access to schools, jobs and amenities like shopping, restaurants and entertainment is important to many families and will greatly influence home values.
So when it comes to keeping their value, these areas often appreciate much more reliably than areas lacking key features.
Real estate sales trends - How long are homes up for sale before closing? Are sellers having to discount much? Some information can be retrieved from public records, but a good agent with a login to the local MLS will often provide a more complete picture.
The appreciation history - Is the community believed to be desirable because of its location or affordability? Have house prices increased or decreased over the past 5-10 years?
Local economy - Is there a fair blend of work in an area, or does it rely upon just one industry? Have businesses moved into or away from an area? Are local companies hiring?
All these play a part.