Over time, the worth of a home will go up and down.
Normally, house values appreciate in the long term.
But there is always a certain amount of risk in real estate, of course.
When your home appreciates you have more resources to borrow against, and you make a greater profit when you sell.
Property values in Miami change for different reasons, so how can you be sure what you're investing in right now won't depreciate the day after you close?
It's imperative that you choose a real estate agent in Miami who is familiar with the factors that drive local prices.
A lot of people assume that the economy is the most important factor affecting real estate appreciation.
there are many factors on a national level that change your home's value: unemployment, mortgage rates, inflation, and more.
However, your property's value and the features that play the most significant role in its appreciation are specific to the local Miami economy and housing market.
Location in a community - Convenient access to schools, work and amenities like shopping, restaurants and entertainment is a big deal to many us and will greatly influence home values.
So when it comes to holding their value, these communities usually appreciate much more reliably than areas lacking key features.
Real estate sales trends - How fast are houses selling? What was the final sales amount compared to the asking price? A lot of data can often be obtained from public records, but a good agent with access to the local MLS will often be able to provide a more complete picture.
Appreciation history - Have house prices gone up or down over the last 5-10 years? Is the neighborhood believed to be desirable because of its location or affordability?
The local economy - Are local businesses hiring? Have companies moved into or away from an area? Is there a fair mix of business in an area, or does it rely on just one industry? Is the blend of commercial and residential zoning changing?
Each of these elements plays a role.