Property values are forever in flux.
Over a long enough period of time, property values , for the most part, appreciate.
But, of course, there are no "sure things" in real estate.
When your property appreciates you have a greater asset to borrow against, and you'll generate a larger profit when you sell.
But how will you know what you're investing in now will appreciate over time? Property values in Austin move up and down for various reasons.
Choosing a REALTOR® in Austin who is familiar with the factors that affect local prices is the most important thing.
The economy is believed to be the most important factor impacting real estate appreciation.
interest rates, employment, job growth, government programs and quite a few other national factors have a definite influence on your home's worth.
But the most important issues that determine your home's value are particular to the local Austin economy and housing market.
Location in a community - Many home buyers prefer to live in areas with the most convenient characteristics for homes to shine, such as a close proximity to schools, jobs, and work.
So those regions consistently appreciate, or hold their value consistently, year to year.
Recent sales - Your real estate agent should give you stats on the recent real estate sales in the regions that you're interested in. You'll want to know average time on market, selling versus listing price and more.
The appreciation history - Is the neighborhood considered desirable because of its location or affordability? Have property prices risen or declined over the last 5 to 10 years?
Economic factors - Have companies moved into or away from an area? Are local companies hiring? Is there a good combination of job types in an area, or does it rely on just one industry?
These items play a part.