Property prices are forever in flux.
Home values appreciate in the long term generally.
But, of course, in real estate there is always a certain amount of risk.
When your home appreciates you have a greater asset to borrow against, and you make a larger profit when you sell.
Property values in Lexington move up and down for numerous reasons, so how do you know what you're investing in now won't depreciate the day after you close?
Choosing a REALTOR® in Lexington who is familiar with the factors that drive local prices is the most important aspect to consider.
Many guess that the economy is the major factor impacting real estate appreciation.
there are quite a few issues on a national level that affect your home's value: unemployment, mortgage rates, consumer confidence, and more.
However, your house's value and the features that play the most significant role in its appreciation are specific to the local Lexington economy and housing market.
Location in a community - Most people want homes in the areas with the easiest access to features, such as our schools and work.
So these regions consistently appreciate, or keep their value consistently, year to year.
Recent sales - Your agent should provide you with figures on the recent home sales in the areas that you'd like to live in. You'll want to know average time on market, selling versus listing price and more.
Appreciation history - Have home prices increased or decreased over the last 5 to 10 years? Is the area thought of as desirable because of its location or affordability?
Economic factors - Have companies moved into or away from an area? Are local companies hiring? Is there a good mixture of job types in an area, or does it rely on just one industry?
Each of these factors plays a role.