Property prices are continually changing.
Over a long enough period of time, property values generally go up.
But there is always a certain amount of risk in real estate, of course.
When your property appreciates you have a more valuable asset to borrow against, and you'll realize a greater profit when you sell.
There are different reasons why property values in Austin move up and down. So, how can you be sure what you're buying now will appreciate over time?
The most important thing to consider is that you select an agent in Austin who recognizes the factors that affect local prices.
Many think that the economy is the major factor impacting real estate appreciation.
there are several issues on a national level that change your property's value: unemployment, interest rates, consumer confidence, and more.
However, your house's value and the things that play the biggest role in its appreciation are specific to the local Austin economy and housing market.
Access to services - Many consumers wish to live in areas with the most convenient traits for families to grow, such as a close proximity to schools, jobs, and work.
So when it comes to holding their value, these areas often appreciate better than others.
Prior home sales - What's the time on market? What was the final sales amount compared to the asking price? Some information can be retrieved from public records, but a good agent with access to the local MLS will often be able to provide a more complete picture.
History of appreciation - In the past 5 to 10 years, have house prices risen or declined? Does location or affordability affect how desirable the neighborhood is believed to be?
Economic factors - Have businesses moved into or away from an area? Are local companies hiring? Is there a good combination of business in an area, or does it rely upon just one industry?
All these play a role.