Over time, the value of a home will go up and down.
Generally, home values appreciate in the long term.
But, of course, there is always a certain amount of risk in real estate.
When your home appreciates you have more resources to borrow against, and you'll produce a larger profit when you sell.
Property values in Homestead waver for numerous reasons, so how can you be sure what you're purchasing today won't depreciate the day after you close?
It's critical that you select a real estate agent in Homestead who recognizes the factors that drive local prices.
A lot of people assume that the economy is the greatest factor affecting real estate appreciation.
mortgage rates, unemployment, business growth, government programs and numerous other national determinants have a definite influence on your home's value.
However, your property's value and the components that play the biggest role in its appreciation are particular to the local Miami, Coral Gables or Homestead economy and housing market.
Access to services - Most people want homes in the areas with the easiest access to places we go often or everyday, such as our schools and jobs.
So when it comes to retaining their value, these communities usually appreciate better than others.
The latest home sales - You should receive facts and figures on the recent real estate sales in the neighborhoods that you'd like to live in from your agent. You'll want to learn figures like how long a house stays on the market and seller discounts.
The appreciation history - Is the community considered desirable because of its location or affordability? Have house prices gone up or down over the last 5-10 years?
The local economy - Are local companies hiring? Have companies moved into or away from an area? Is there a nice mixture of business in an area, or does it count on just one industry? Is the blend of commercial and residential zoning changing?
All these play a part.