Home prices are continually changing.
Over a long enough period of time, house values , for the most part, go up.
But, in real estate there is always a certain amount of risk.
When your property appreciates you have more equity to borrow against, and you'll realize a better profit when you sell.
There are various reasons why property values in Chicago fluctuate. So, how will you know what you're purchasing presently will appreciate over time?
It's imperative that you choose an agent in Chicago who is familiar with the factors that drive local prices.
What is the most critical factor impacting real estate appreciation? Many assume that it's the economy.
there are some issues on a national level that influence your property's value: unemployment, interest rates, consumer confidence, and more.
However, your house's value and the features that play the biggest role in its appreciation depend on the local Chicago economy and housing market.
Location in a community - Being close to schools, work and amenities like shopping, restaurants and entertainment is a priority to many buyers and will greatly influence home values.
So when it comes to retaining their value, these areas often appreciate better than others.
Recent home sales - How long do homes typically stay up for sale before closing? What was the selling price compared to the asking price? Some information can often be retrieved from public records, but a good agent with a login to the local MLS will usually be able to provide a more complete picture.
The appreciation history - Is the neighborhood thought to be desirable because of its location or affordability? Have property prices increased or decreased over the last 5-10 years?
The local economy - Are local businesses hiring? Have companies moved into or away from an area? Is there a fair blend of job types in an area, or does it depend on just one industry? Is the blend of commercial and residential development changing?
All these play a part.