Fluctuating home prices in Tampa, Florida: What causes this?
Over time, the value of a house will fluctuate up and down. Property values appreciate in the long term by and large. But, of course, in real estate there are no "sure things".
When your house appreciates you have a bigger asset to borrow against, and you get a higher profit when you sell. Property values in Tampa go up and down for various reasons, so how do you know what you're buying presently won't depreciate the day after you close? Choosing a real estate agent in Tampa who can identify the factors that affect local prices is the most important factor to consider.
Many are convinced that the economy is the top factor impacting real estate appreciation. Naturally, there are a handful of factors on a national level that adjust your property's value: unemployment, interest rates, the stock market, and more. However, your house's value and the elements that play the most significant role in its appreciation are specific to the local Tampa economy and housing market.
Access to services - Proximity to work and schools also have a major influence on all home buyers' decisions. So when it comes to retaining their value, these areas consistently appreciate the best.
Real estate sales trends - How long are homes up for sale before closing? What was the selling price versus the listing price? A lot of data can be obtained from public records, but a good agent with access to the local MLS will usually provide a more complete picture.
History of appreciation - In the past 5-10 years, have home prices gone up or down? Does location or affordability affect how desirable the area is believed to be?
Economic factors - Have businesses moved into or away from an area? Are local companies hiring? Is there a fair mixture of jobs in an area, or does it rely on just one industry? These items play a part.