Over time, the value of a piece of real estate will go up and down.
Almost always, house values appreciate in the long term.
But, in real estate there are no guarantees.
When your home appreciates you have more resources to borrow against, and you'll realize a bigger profit when you sell.
Property values in Charlotte move up and down for a variety of reasons, so how will you know what you're purchasing this year won't depreciate the day after you close?
Choosing a REALTOR® in Charlotte who knows the factors that influence local prices is the most important aspect to consider.
A lot of people guess that the economy is the top factor affecting real estate appreciation.
interest rates, employment, business growth, government programs and numerous other national factors have a definite impact on your house's worth.
However, your house's value and the components that play the most significant role in its appreciation are particular to the local Charlotte 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 families and will greatly influence home values.
So these communities often appreciate, or hold their value, best.
Recent sales - Your agent should give you statistics on the recent home sales in the districts that you're interested in. You'll want to know average time on market, selling versus listing price and more.
History of appreciation - In the last 5 to 10 years, have property prices gone up or down? Does location or affordability affect how desirable the area is thought to be?
The local economy - Are local businesses hiring? Have companies moved into or away from an area? Is there a nice blend of business in an area, or does it depend on just one industry? Is the blend of commercial and residential zoning changing?
Each of these factors plays a part.