Understanding San Jose property appreciation

Property values are forever in flux. Over a long enough period of time, house values , for the most part, appreciate. But, of course, there are no "sure things" in real estate.

When your house appreciates you have more equity to borrow against, and you'll create a greater profit when you sell. There are many different reasons why property values in San Jose go up and down. So, how do you know what you're purchasing today will appreciate over time? The most important aspect to consider is that you choose an agent in San Jose who understands the factors that influence local prices.

Many assume that the economy is the greatest factor affecting real estate appreciation. Obviously, mortgage rates, unemployment, business growth, government programs and several other national determinants have a definite influence on your house's value. But the most important issues that decide your home's value depend on the local San Jose economy and housing market.

Location in a community - Most people want homes in the districts with the most useful amenities, such as our jobs and schools. So when it comes to holding their value, these regions usually appreciate the best.

The latest home sales - How long are homes on the market? Are sellers having to discount much or offer concessions Some information can often be obtained from public records, but a good agent with a login to the local MLS will usually provide a more complete picture.

History of appreciation - In the past 5 to 10 years, have house prices gone up or down? Does location or affordability affect how desirable the area is believed to be?

Economic factors - Have companies moved into or away from an area? Are local companies hiring? Is there a good blend of business in an area, or does it count on just one industry? All these play a role.