Home values are constantly moving up and down.
Generally, property values appreciate in the long term.
But, of course, there is always a certain amount of risk in real estate.
When your house appreciates you have a greater asset to borrow against, and you'll make a better profit when you sell.
Property values in Nashville rise and fall for a variety of reasons, so how will you be sure what you're investing in today won't depreciate the day after you close?
The most important aspect is that you select a REALTOR® in Nashville who knows the factors that influence local prices.
The economy is believed to be the most influential factor affecting real estate appreciation.
After all,
interest rates, employment, job growth, government programs and a lot of other national factors have a definite effect on your home's worth.
But the most important things that determine your home's value are specific to the local Nashville economy and residential market.
Access to services - Being close to schools, jobs and amenities like shopping, restaurants and entertainment is important to many buyers and will greatly influence home values.
So those regions generally appreciate, or hold their value consistently, year to year.
Recent home sales - You should receive stats on the recent real estate sales in the regions that you're interested in from your real estate agent. You'll need to analyze data like how long a house stays on the market and listing price versus selling price.
History of appreciation - In the past 5 to 10 years, have property prices risen or declined? Does location or affordability affect how desirable the area is considered?
The local economy - Are local businesses hiring? Have businesses moved into or away from an area? Is there a good mix of work in an area, or does it depend on just one industry? Is the mix of commercial and residential development changing?
These items play a role.