Over time, the worth of a piece of real estate will fluctuate up and down.
Home values appreciate in the long term in most cases.
But, of course, in real estate there are no guarantees.
When your home appreciates you have more equity to borrow against, and you'll generate a bigger profit when you sell.
Property values in Oakland waver for different reasons, so how will you be sure what you're investing in right now won't depreciate the day after you close?
It's critical that you select an agent in Oakland who recognizes the factors that drive local prices.
A lot of people guess that the economy is the major factor impacting real estate appreciation.
After all,
interest rates, employment, job growth, government programs and a handful of other national determinants have a measurable impact on your home's worth.
However, your home's value and the features that play the biggest role in its appreciation depend on the local Oakland economy and housing market.
Location in a community - Most people want homes in the areas with the most useful features, like our schools and jobs.
So these communities consistently appreciate, or carry their value consistently, year to year.
Recent sales - Your REALTOR® should provide you with statistics on the recent real estate sales in the neighborhoods 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 last 5-10 years, have home prices risen or declined? Does location or affordability affect how desirable the neighborhood is thought of as?
The local economy - Are local companies hiring? Have companies moved into or away from an area? Is there a nice blend of jobs in an area, or does it rely on just one industry? Is the mix of commercial and residential development changing?
All these play a part.