What drives property values in Pittsburgh to move up and down?
Property values are constantly moving up and down. Normally, home values appreciate in the long term. But, of course, in real estate there are no guarantees.
When your house appreciates you have more equity to borrow against, and you'll generate a higher profit when you sell. There are many different reasons why property values in Pittsburgh change. So, how can you be sure what you're investing in presently will appreciate over time? It's imperative that you choose a REALTOR® in Pittsburgh who is familiar with the factors that drive local prices.
What is the greatest factor affecting real estate appreciation? Many think that it's the economy. It goes without saying that there are some issues on a national level that change your home's value: unemployment, interest rates, consumer confidence, and more. However, your house's value and the components that play the biggest role in its appreciation are particular to the local Pittsburgh economy and housing market.
Location in a community - Many home buyers wish to live in areas with the most conducive traits for households to grow, like a close proximity to schools and work. So when it comes to holding their value, these areas often appreciate better than others.
Recent home sales - You should receive figures on the recent real estate sales in the regions that you're interested in from your REALTOR®. You'll want to analyze figures like time on market and listing price versus selling price.
The appreciation history - Is the neighborhood considered desirable because of its location or affordability? Have home prices gone up or down over the past 5 to 10 years?
The local economy - Are local businesses hiring? Have companies moved into or away from an area? Is there a good mix of jobs in an area, or does it depend on just one industry? Is the mix of commercial and residential zoning changing? These items play a role.