Real estate prices are forever in flux.
Typically, property values appreciate in the long term.
But, in real estate there are no "sure things".
When your property appreciates you have more equity to borrow against, and you'll see a better profit when you sell.
But how can you be sure what you're purchasing presently will appreciate over time? Property values in Sarasota shift for many different reasons.
Choosing an agent in Sarasota who can identify the factors that drive local prices is the most important factor.
A lot of people believe that the economy is the biggest factor impacting real estate appreciation.
mortgage rates, unemployment, job growth, government programs and several other national determinants have a noticeable effect on your house's value.
However, your property's value and the elements that play the biggest role in its appreciation are specific to the local Sarasota economy and housing market.
Location in a community - Proximity to schools and work also have a huge impact on almost all home buyers' decisions.
So those communities often appreciate, or retain their value consistently, year to year.
Recent home sales - What's the time on market? What was the final sales amount versus 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 provide a more complete picture.
Appreciation history - Have home prices risen or declined over the past 5-10 years? Is the area believed to be desirable because of its location or affordability?
Local economy - Is there a fair mixture of job types in an area, or does it count on just one industry? Have businesses moved into or away from an area? Are local companies hiring?
These items play a part.