Real estate prices are constantly moving up and down.
Property values appreciate in the long term normally.
But, of course, there are no guarantees in real estate.
When your house appreciates you have a greater asset to borrow against, and you'll see a larger profit when you sell.
Property values in Lexington vary for various reasons, so how do you know what you're investing in presently won't depreciate the day after you close?
Choosing an agent in Lexington who recognizes the factors that drive local prices is the most important aspect.
What is the major factor affecting real estate appreciation? Many believe that it's the economy.
interest rates, unemployment, job growth, government programs and many other national determinants have a measurable impact on your property's value.
However, your house's value and the components that play the most significant role in its appreciation are specific to the local Lexington economy and housing market.
Access to services - Many consumers decide to live in regions with the most useful amenities for families to grow, such as a close proximity to jobs and schools.
So those areas usually appreciate, or hold their value consistently, year to year.
Recent sales - Your REALTOR® should give you statistics on the recent real estate sales in the districts that you're interested in. You'll want to know average time on market, selling versus listing price and more.
Appreciation history - Have home prices gone up or down over the last 5-10 years? Is the community thought of as desirable because of its location or affordability?
Local economy - Is there a fair blend of work in an area, or does it count on just one industry? Have companies moved into or away from an area? Are local companies hiring?
Each of these items plays a role.