Most houses in the current housing market will appreciate no matter where they are. This is not always the case so it is a good idea to make sure you choose a house that will appreciate. When choosing a home, there are many factors to consider. Even though some are out of your control here are some tips to think about when choosing a home when it comes to a home’s appreciation.
Find a Valuable Property
Land value can determine some of the value of your home. Land appreciation is influenced by fewer factors than the house itself. Choosing a home that is on a valuable piece of land will help your home’s appreciation. Regardless of a home or structure, the land value can help value to remain consistent.
Location, Location, Location
In real estate, it is all about location. This old saying hasn’t become a staple of real estate for no reason; location really does play a massive role in the desirability and, by extension, value of a home. There are a good amount of factors that make a piece of land valuable such as proximity to desirable features (parks, shopping, restaurants, etc.), the quality of the school district, a quick (or at least reasonable) commute to a city, and if it is considered an “up and coming” neighborhood.
Consider a “Fixer-Upper”
When a home needs some TLC, the current value is usually lower than what it could be fixed up. Many want a move-in-ready home that does not need any improvements and are willing to pay the premium for this convenience. If you are willing to renovate, then you can pay a low price, fix it up and sell for a premium. If location is very important to you, then you might be able to find a “fixer-upper” for a lower price in your desired neighborhood.
Be Smart About Upgrades
Renovations can add up in costs. When you are choosing what to update, be strategic in choosing what work needs to be done. You need to make sure the renovations you choose to do, will add value to your home. Certain renovations are pricier than others and some are more valuable in others in terms of how they can contribute to your home’s appreciation. Many renovations that will add the bucks to your home include garage door replacement, kitchen remodeling, siding replacement, and window replacements.
If you are ready to purchase a home, a Realtor can help you find the right home in the right neighborhood. A Realtor can help you decide on the best renovations and recommend contractors. If you want a move-in ready, they can help you find a home that will definitely appreciate in the future.