Over time, the worth of a home will go up and down.
Over a long enough period of time, home values , for the most part, go up.
But, in real estate there are no guarantees.
When your home appreciates you have more resources to borrow against, and you'll see a bigger profit when you sell.
There are many different reasons why property values in South Bay & Palos Verdes vary. So, how will you be sure what you're buying now will appreciate over time?
It's critical that you select an agent in South Bay & Palos Verdes who recognizes the factors that affect local prices.
Many assume that the economy is the biggest factor impacting real estate appreciation.
Obviously,
interest rates, employment, job growth, government programs and quite a few other national determinants have a measurable impact on your home's value.
However, your home's value and the things that play the biggest role in its appreciation depend on the local South Bay & Palos Verdes economy and housing market.
Access to services - Convenient access to schools, jobs and amenities like shopping, restaurants and entertainment is a big deal to many us and will greatly influence home values.
So these communities generally appreciate, or keep their value consistently, year to year.
Recent sales - Your REALTOR® should give you statistics on the recent home sales in the neighborhoods that you'd like to live in. You'll want to know average time on market, selling versus listing price and more.
Appreciation history - Have house prices gone up or down over the last 5-10 years? Is the community thought to be desirable because of its location or affordability?
Local economy - Is there a fair combination of business in an area, or does it count on just one industry? Have companies moved into or away from an area? Are local companies hiring?
All these play a role.