How to Buy a Home with Best Resale Value

Buying a house isn't just buying a home; it's an investment in real estate. That's why it's important to weigh considerations when the first-time home buyer hunts for a house. The market value of property can fluctuate, but there are ways to find out property values and whether or not they've increased or decreased in value over the years. Naturally, you want to make a strong investment so that if and when you decide to resell the property, you get your money back—and then some—on the deal. House sale prices don't necessarily provide a sound property estimate. You have to know how much a house is actually worth before you sign a contract—no matter how much you like the layout of the structure and so forth. In order to make a savvy investment, you want to purchase a property with the best resale value.

How to Buy a Home with Best Resale Value

Property Value Search

A property valuation calculator is a good place to start when you're trying to make a property estimate. Of course, this isn't always a good predictor of future valuation. The market value of property can fluctuate depending on changes in the neighborhood. For instance, if a knew point of access for public transportation is installed, that can raise the property value. If an expressway is extended and interrupts the peaceful atmosphere of the neighborhood, that can reduce property values. Keep in mind that when you do a property value search, the figure you get is for today. A good investment today, might not be a good one tomorrow, but there are some factors to weight that will give you a hint about property values in the future.

Property Value Search


Factors affecting property value include location. Chicago is a world-class city, so it's not surprising that many of its established neighborhoods tend to hold their property values well. If you perform a property value search for the Near North Loop neighborhood, you'll see that property values have increased over the years, giving buyers an excellent return on their investment. On the other hand, even in Chicago, property values can dip if the crime rate, for example, increases substantially.

The Property Is Updated

Whether or not a property is well-maintained and updated is a good indicator of its investment potential. If you can purchase a fixer-upper at a bargain rate, it might be worth it if you don't mind investing in the updates. However, if other homes in the neighborhood remain in poor condition, it's going to affect area market home values at some point. Updates like new kitchens, new windows, and renovated bathrooms can increase the market value of a home.

When to Buy a House

In order to make a great real estate investment, it's helpful to go house hunting when it's a buyer's market. This means that the market is flooded with great properties and sellers have to compete to attract buyers. Fluctuations in the economy might also impact the real estate market in favor of buyers. When it's a seller's market and sellers are asking—and getting—top dollar for real estate, it might be more difficult to determine if the property is going to increase in value or decrease in time. Examining the history of property value fluctuations in the area can help you decide if it's a good time for you to buy a home from an investment stand point.

Factors affecting property value are many, but your real estate agent can discuss them with you as you begin the process of searching for a property. Be sure to use helpful tools like a property valuation calculator each time you become serious about a property. Research the area to learn about the market value of homes and how they've fluctuated over time. This knowledge can help you make a smart real estate investment.

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