Over time, the worth of a property will go up and down.
House values appreciate in the long term by and large.
But, of course, in real estate there are no guarantees.
When your property appreciates you have a greater asset to borrow against, and you'll realize a better profit when you sell.
But how do you know what you're purchasing now will appreciate over time? Property values in Chicago waver for different reasons.
The most important aspect to consider is that you choose a real estate agent in Chicago who recognizes the factors that drive local prices.
A lot of people are convinced that the economy is the number one factor affecting real estate appreciation.
It goes without saying that
there are a handful of issues on a national level that adjust your home's value: unemployment, interest rates, the stock market, and more.
However, your house's value and the elements that play the most significant role in its appreciation are particular to the local Chicago economy and housing market.
Location in a community - Being close to schools, work and amenities like shopping, restaurants and entertainment is important to a lot of families and will greatly influence home values.
So when it comes to keeping their value, these areas typically appreciate the best.
Recent sales - Your REALTOR® should give you information on the recent home sales in the regions that you'd like to live in. You'll want to know average time on market, selling versus listing price and more.
History of appreciation - In the past 5-10 years, have house prices risen or declined? Does location or affordability affect how desirable the community is considered?
The local economy - Are local companies hiring? Have companies moved into or away from an area? Is there a good combination of job types in an area, or does it depend on just one industry? Is the blend of commercial and residential development changing?
Each of these items plays a part.