Over time, the worth of a home will go up and down.
Over a long enough period of time, property values normally appreciate.
But there are no guarantees in real estate, of course.
When your property appreciates you have a greater asset to borrow against, and you'll realize a bigger profit when you sell.
There are numerous reasons why property values in Naples go up and down. So, how will you be sure what you're purchasing this year will appreciate over time?
Choosing an agent in Naples who can identify the factors that affect local prices is the most important element.
The economy is thought to be the number one factor impacting real estate appreciation.
mortgage rates, unemployment, business growth, government programs and a lot of other national factors have a noticeable impact on your house's worth.
But the most influential things that determine your house's value are specific to the local Naples economy and residential market.
Location in a community - Being close to schools, jobs and amenities like shopping, restaurants and entertainment is a big deal to many buyers and will greatly influence home values.
So those areas usually appreciate, or hold their value, best.
Recent sales - Your REALTOR® 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 property prices increased or decreased over the past 5 to 10 years? Is the community thought to be 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 nice blend of business in an area, or does it count on just one industry? Is the mix of commercial and residential zoning changing?
Each of these elements plays a role.