Real estate prices are constantly moving up and down. Over a long enough period of time, property values , by and large, appreciate. But, of course, there are no guarantees in real estate.
When your home appreciates you have more resources to borrow against, and you'll see a bigger profit when you sell. There are many different reasons why property values in Phoenix change. So, how will you be sure what you're purchasing right now will appreciate over time? It's important that you select a REALTOR® in Phoenix who understands the factors that affect local prices.
Many assume that the economy is the biggest factor affecting real estate appreciation. It goes without saying that mortgage rates, unemployment, business growth, government programs and a lot of other national factors can always influence your home's value. However, your home's value and the aspects that play the most significant role in its appreciation are particular to the local Phoenix economy and housing market.
Access to services - Proximity to schools and jobs also have a great affect on almost all home buyers' choices. So those regions often appreciate, or keep their value, best.
Recent home sales - You should receive information on the recent real estate sales in the regions that you're asking about from your agent. You'll need to learn figures like how long a house stays on the market and asking price versus selling price.
Appreciation history - Have property prices risen or declined over the past 5-10 years? Is the area considered 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 fair blend of jobs in an area, or does it depend on just one industry? All these play a part.