Over time, the worth of a piece of real estate will go up and down.
Over a long enough period of time, house values almost always go up.
But, of course, there is always a certain amount of risk in real estate.
When your house appreciates you have more resources to borrow against, and you'll produce a higher profit when you sell.
Property values in Boca Raton fluctuate for various reasons, so how will you be sure what you're investing in presently won't depreciate the day after you close?
It's imperative that you go with a real estate agent in Boca Raton who recognizes the factors that influence local prices.
What is the number one factor affecting real estate appreciation? Many believe that it's the economy.
Naturally,
there are a handful of factors on a national level that influence your home's value: unemployment, interest rates, inflation, and more.
However, your house's value and the factors that play the most significant role in its appreciation are specific to the local Boca Raton economy and housing market.
Location in a community - Convenient access to schools, employment and amenities like shopping, restaurants and entertainment is a big deal to many families and will greatly influence home values.
So those communities typically appreciate, or carry their value, best.
Recent sales - Your REALTOR® should provide you with facts and figures on the recent real estate 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 increased or decreased over the past 5 to 10 years? Is the community believed to be desirable because of its location or affordability?
Local economy - Is there a nice blend of job types in an area, or does it rely upon just one industry? Have businesses moved into or away from an area? Are local businesses hiring?
Each of these elements plays a role.