I work in a city that's seeing unprecedented growth. The local Chamber of Commerce estimates that 80 people move in a day! And when a city or area is experiencing that much growth-- or, conversely, if its population is beginning to dwindle as young people move away, a common phenomenon in more rural areas-- you should always buy with the future in mind. Future values, that is.
A home is your biggest investment, and ideally equity rises should be greater than your expected interest per year in order for your investment to yield a profit. Whenever you begin scouting neighborhoods for homes, first take a look at the zip code. You can cross-reference this with news outlets, and check to see what buildings or businesses are planned for the area. A large flux of corporate businesses and office parks can be bad for residential home values, and your home might eventually get re-zoned. Alternatively, restaurants, entertainment, cafes, and nightlife generally bring an increase to property values. And if new places are coming which suit your lifestyle, like new condo buildings, that can be a perk!
Try to anticipate what the future will do to your values. No one can pitch it right all the time, but enough investigation can absolutely give you a better idea where things might be going than no research at all. You can also look at historical pricing trends, the average age of homes for sale in an area (lots of new homes are often a good sign) and traffic congestion patterns.
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