Property values are continually changing.
House values appreciate in the long term generally.
But there is always a certain amount of risk in real estate.
When your property appreciates you have a larger asset to borrow against, and you'll produce a bigger profit when you sell.
There are various reasons why property values in Lexington shift. So, how will you be sure what you're purchasing this year will appreciate over time?
It's critical that you go with a real estate agent in Lexington who understands the factors that drive local prices.
A lot of people assume that the economy is the number one factor impacting real estate appreciation.
there are numerous issues on a national level that influence your property's value: unemployment, mortgage rates, the stock market, and more.
But the most significant issues that determine your house's value are particular to the local Lexington economy and housing market.
Access to services - People typically want homes in the regions with the most convenient places we go often or everyday, such as our schools, jobs, and shopping.
So those communities often appreciate, or retain their value consistently, year to year.
Recent sales - Your REALTOR® should give you facts and figures on the recent real estate sales in the neighborhoods that you'd like to live in. You'll want to know average time on market, selling versus listing price and more.
History of appreciation - In the last 5-10 years, have property prices gone up or down? Does location or affordability affect how desirable the area is believed to be?
Local economy - Is there a good combination of job types in an area, or does it rely upon just one industry? Have businesses moved into or away from an area? Are local businesses hiring?
All these play a part.