Real estate prices are forever in flux.
House values appreciate in the long term usually.
But there are no "sure things" in real estate.
When your house appreciates you have a greater asset to borrow against, and you'll see a greater profit when you sell.
There are numerous reasons why property values in Sherman Oaks vary. So, how do you know what you're buying this year will appreciate over time?
It's imperative that you select a REALTOR® in Sherman Oaks who recognizes the factors that drive local prices.
A lot of people are convinced that the economy is the number one factor impacting real estate appreciation.
It goes without saying that
there are many issues on a national level that adjust your property's value: unemployment, interest rates, quarterly earnings reports, and more.
But the most important factors that determine your property's value depend on the local Sherman Oaks economy and residential market.
Location in a community - Many of us prefer to live in areas with the most useful elements for homes to do well, such as a close proximity to schools, jobs, and work.
So these areas often appreciate, or retain their value consistently, year to year.
Trends in home sales - Are homes on the market 30, 60, or 90 days or even longer? Are sellers needing to discount much or offer concessions Some information can be retrieved from public records, but a good agent with a login to the local MLS will usually provide a more complete picture.
The appreciation history - Is the neighborhood believed to be desirable because of its location or affordability? Have property prices risen or declined over the last 5-10 years?
The local economy - Are local businesses hiring? Have businesses moved into or away from an area? Is there a fair blend of job types in an area, or does it rely on just one industry? Is the blend of commercial and residential development changing?
All these play a role.