Understanding Tamuning property appreciation
Over time, the value of a property will go up and down. House values appreciate in the long term by and large. But, in real estate there is always a certain amount of risk.
When your house appreciates you have a larger asset to borrow against, and you'll see a bigger profit when you sell. Property values in Tamuning rise and fall for numerous reasons, so how do you know what you're purchasing today won't depreciate the day after you close? Choosing a REALTOR® in Tamuning who is familiar with the factors that drive local prices is the most important element.
What is the most influential factor affecting real estate appreciation? Many assume that it's the economy. Clearly, interest rates, employment, business growth, government programs and a handful of other national determinants have a definite effect on your home's value. However, your house's value and the factors that play the most significant role in its appreciation depend on the local Tamuning economy and housing market.
Access to services - Proximity to schools and work also have a great influence on many home buyers' decisions. So those regions consistently appreciate, or retain their value consistently, year to year.
Recent sales - Your REALTOR® should give you figures on the recent real estate sales in the districts 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 property prices gone up or down? Does location or affordability affect how desirable the neighborhood is considered?
Local economy - Is there a nice combination of business in an area, or does it depend on just one industry? Have companies moved into or away from an area? Are local businesses hiring? Each of these items plays a part.