Over time, the value of a house will go up and down.
Over a long enough period of time, home values generally appreciate.
But, of course, there is always a certain amount of risk in real estate.
When your house appreciates you have more resources to borrow against, and you'll create a larger profit when you sell.
There are many different reasons why property values in Naples go up and down. So, how will you know what you're purchasing this year will appreciate over time?
The most important aspect to consider is that you go with an agent in Naples who is familiar with the factors that drive local prices.
Many believe that the economy is the most influential factor impacting real estate appreciation.
After all,
there are quite a few factors on a national level that alter your property's value: unemployment, interest rates, the stock market, and more.
But the most significant issues that figure your house's value are specific to the local Naples economy and residential market.
Access to services - Many consumers decide to live in areas with the most accommodating characteristics for families to do well, like a close proximity to schools and work.
So these areas often appreciate, or keep their value consistently, year to year.
Recent sales - Your real estate agent should provide you with reports on the recent real estate sales in the areas that you're asking about. You'll want to know average time on market, selling versus listing price and more.
Appreciation history - Have property prices risen or declined over the last 5-10 years? Is the neighborhood thought to be desirable because of its location or affordability?
Local economy - Is there a good blend of work in an area, or does it rely upon just one industry? Have businesses moved into or away from an area? Are local businesses hiring?
These items play a part.