Over time, the value of a property will go up and down.
Over a long enough period of time, house values typically go up.
But there is always a certain amount of risk in real estate.
When your house appreciates you have a bigger asset to borrow against, and you'll generate a better profit when you sell.
There are many different reasons why property values in Fort Walton Beach shift. So, how do you know what you're buying this year will appreciate over time?
It's important that you select a real estate agent in Fort Walton Beach who knows the factors that influence local prices.
What is the biggest factor impacting real estate appreciation? Many guess that it's the economy.
mortgage rates, employment, job growth, government programs and many other national factors have a noticeable effect on your property's value.
However, your property's value and the factors that play the biggest role in its appreciation are specific to the local Fort Walton Beach economy and housing market.
Location in a community - Being close to schools, employment and amenities like shopping, restaurants and entertainment is important to many buyers and will greatly influence home values.
So when it comes to holding their value, these regions usually appreciate the best.
Real estate sales trends - How long do homes typically stay up for sale before closing? What was the selling price versus the listing price? A lot of data can be obtained from public records, but a good agent with access to the local MLS will usually be able to provide a more complete picture.
The appreciation history - Is the community considered desirable because of its location or affordability? Have house prices increased or decreased over the past 5-10 years?
Local economy - Is there a good combination of business in an area, or does it rely upon just one industry? Have companies moved into or away from an area? Are local businesses hiring?
All these play a role.