Property values are continually changing.
For the most part, house values appreciate in the long term.
But there is always a certain amount of risk in real estate.
When your house appreciates you have more resources to borrow against, and you get a greater profit when you sell.
Property values in Santa Barbara vary for a variety of reasons, so how will you know what you're buying now won't depreciate the day after you close?
It's imperative that you go with a REALTOR® in Santa Barbara who recognizes the factors that drive local prices.
Many guess that the economy is the number one factor affecting real estate appreciation.
Obviously,
mortgage rates, unemployment, job growth, government programs and quite a few other national determinants have a definite impact on your home's value.
However, your property's value and the factors that play the most significant role in its appreciation depend on the local Santa Barbara economy and housing market.
Access to services - Convenient access to schools, jobs and amenities like shopping, restaurants and entertainment is a big deal to many buyers and will greatly influence home values.
So those communities consistently appreciate, or retain their value consistently, year to year.
The latest home sales - How quickly are homes selling? Are sellers needing to discount much or offer concessions Some information can be obtained from public records, but a good agent with a login to the local MLS will usually provide a more complete picture.
The appreciation history - Is the area thought to be desirable because of its location or affordability? Have house prices gone up or down over the past 5 to 10 years?
Local economy - Is there a nice mixture of work in an area, or does it rely on just one industry? Have companies moved into or away from an area? Are local companies hiring?
All these play a role.