Over time, the value of a home will fluctuate up and down.
For the most part, property values appreciate in the long term.
But, in real estate there is always a certain amount of risk.
When your property appreciates you have a bigger asset to borrow against, and you'll generate a greater profit when you sell.
Property values in BAKERSFIELD vary for numerous reasons, so how will you be sure what you're buying presently won't depreciate the day after you close?
Choosing a REALTOR® in BAKERSFIELD who understands the factors that drive local prices is the most important thing to consider.
The economy is assumed to be the greatest factor affecting real estate appreciation.
Obviously,
mortgage rates, employment, job growth, government programs and many other national factors have a definite effect on your property's worth.
But the most significant factors that determine your property's value depend on the local BAKERSFIELD economy and housing market.
Location in a community - Many home buyers decide to live in districts with the most helpful amenities for families to grow, such as a close proximity to schools and work.
So those areas usually appreciate, or keep their value consistently, year to year.
Recent sales - Your agent should give you statistics on the recent home sales in the regions that you're asking about. You'll want to know average time on market, selling versus listing price and more.
The appreciation history - Is the neighborhood thought to be desirable because of its location or affordability? Have house prices gone up or down over the past 5-10 years?
The local economy - Are local companies hiring? Have businesses moved into or away from an area? Is there a fair blend of jobs in an area, or does it count on just one industry? Is the mix of commercial and residential development changing?
These items play a part.