Property prices are continually changing.
Over a long enough period of time, home values generally go up.
But there is always a certain amount of risk in real estate.
When your property appreciates you have a larger asset to borrow against, and you'll see a bigger profit when you sell.
Property values change for various reasons, so how do you know what you're investing in today won't depreciate the day after you close?
It's critical that you go with a REALTOR® who can identify the factors that influence prices.
Many believe that the economy is the major factor affecting real estate appreciation.
interest rates, unemployment, business growth, government programs and many other national factors have a measurable effect on your house's value.
However, your property's value and the things that play the biggest role in its appreciation are particular to the New Jersey economy and housing market.
Access to services - Most people want homes in the districts with the most accommodating features, such as our schools and work.
So those regions consistently appreciate, or retain their value, best.
Real estate sales trends - What's the time on market? Are sellers needing to discount much? 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.
Appreciation history - Have house prices risen or declined over the last 5-10 years? Is the area considered desirable because of its location or affordability?
Local economy - Is there a good combination of business in an area, or does it rely on just one industry? Have businesses moved into or away from an area? Are local businesses hiring?
All these play a role.