Over time, the value of a house will go up and down.
Almost always, house 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 equity to borrow against, and you'll see a higher profit when you sell.
Property values in Clearwater fluctuate for numerous reasons, so how will you be sure what you're buying presently won't depreciate the day after you close?
The most important factor to consider is that you choose a REALTOR® in Clearwater who knows the factors that drive local prices.
Many assume that the economy is the greatest factor impacting real estate appreciation.
mortgage rates, employment, job growth, government programs and quite a few other national factors have a measurable influence on your house's value.
But the most significant factors that decide your house's value depend on the local Clearwater economy and residential market.
Access to services - Convenient access to schools, employment and amenities like shopping, restaurants and entertainment is a priority to a lot of buyers and will greatly influence home values.
So these areas consistently appreciate, or retain their value, best.
Real estate sales trends - How quickly are homes selling? What was the final sales amount versus the listing price? A lot of data can be retrieved from public records, but a good agent with access to the local MLS will usually be able to provide a more complete picture.
History of appreciation - In the last 5 to 10 years, have property prices risen or declined? Does location or affordability affect how desirable the neighborhood is considered?
Local economy - Is there a fair blend of jobs 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 role.