Over time, the worth of a home will go up and down.
Over a long enough period of time, home values generally go up.
But, of course, there are no guarantees in real estate.
When your property appreciates you have a greater asset to borrow against, and you'll realize a bigger profit when you sell.
But how do you know what you're investing in presently will appreciate over time? Property values in Lexington fluctuate for a variety of reasons.
Choosing a real estate agent in Lexington who is familiar with the factors that influence local prices is the most important part.
Many think that the economy is the top factor impacting real estate appreciation.
interest rates, employment, job growth, government programs and some other national determinants have a definite impact on your home's value.
But the most important things that figure your house's value are specific to the local Lexington economy and residential market.
Access to services - Being close to schools, employment and amenities like shopping, restaurants and entertainment is a big deal to many families and will greatly influence home values.
So when it comes to retaining their value, these areas usually appreciate better than others.
Recent sales - Your REALTOR® should provide you with statistics on the recent home 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.
The appreciation history - Is the community considered desirable because of its location or affordability? Have property prices gone up or down over the last 5 to 10 years?
Economic factors - Have businesses moved into or away from an area? Are local businesses hiring? Is there a fair mix of jobs in an area, or does it depend on just one industry?
All these play a part.