Property prices are continually changing.
By and large, house values appreciate in the long term.
But, of course, there is always a certain amount of risk in real estate.
When your property appreciates you have a bigger asset to borrow against, and you'll generate a greater profit when you sell.
There are various reasons why property values in Naples rise and fall. So, how will you be sure what you're buying today will appreciate over time?
Choosing a REALTOR® in Naples who understands the factors that influence local prices is the most important aspect.
Many guess that the economy is the major factor affecting real estate appreciation.
mortgage rates, unemployment, job growth, government programs and many other national determinants have a measurable effect on your property's value.
But the most significant issues that decide your home's value are particular to the local Naples economy and residential market.
Location in a community - People typically want homes in the districts with the best and most convenient places we go often or everyday, like our schools and work.
So these communities typically appreciate, or carry their value consistently, year to year.
The latest home sales - How long are homes up for sale before closing? What was the selling price compared to the listing price? A lot of data can be retrieved from public records, but a good agent with a login to the local MLS will usually be able to provide a more complete picture.
Appreciation history - Have house prices risen or declined over the last 5-10 years? Is the neighborhood thought of as desirable because of its location or affordability?
The local economy - Are local companies hiring? Have companies moved into or away from an area? Is there a fair combination of jobs in an area, or does it rely on just one industry? Is the mix of commercial and residential zoning changing?
Each of these items plays a part.