Over time, the worth of a property will go up and down.
Over a long enough period of time, home values typically appreciate.
But there are no "sure things" in real estate.
When your home appreciates you have more resources to borrow against, and you'll produce a higher profit when you sell.
But how can you be sure what you're purchasing right now will appreciate over time? Property values in Austin shift for many different reasons.
Choosing an agent in Austin who knows the factors that affect local prices is the most important element to consider.
The economy is believed to be the most critical factor impacting real estate appreciation.
After all,
there are several factors on a national level that adjust your home's value: unemployment, mortgage rates, business growth, and more.
But the most influential things that determine your home's value are specific to the local Austin economy and housing market.
Access to services - Being close to schools, work and amenities like shopping, restaurants and entertainment is a priority to many buyers and will greatly influence home values.
So these regions generally appreciate, or hold their value consistently, year to year.
Recent sales - Your REALTOR® should provide you with facts and figures on the recent real estate sales in the areas that you're interested in. You'll want to know average time on market, selling versus listing price and more.
History of appreciation - In the last 5 to 10 years, have home prices gone up or down? Does location or affordability affect how desirable the area is considered?
Local economy - Is there a good combination of jobs in an area, or does it rely upon just one industry? Have businesses moved into or away from an area? Are local businesses hiring?
All these play a part.