The Secret to Successful BuyingSeptember 16, 2013
There’s an old secret to buying a new home that Realtors® have known for years. Don’t buy the most expensive property in the community. While it’s appealing to buy a home in a well-established community full of modern homes and meticulously maintained lawns, what happens to that neighborhood in a soft market? Homes with higher values than the homes surrounding them are adversely affected in a slow market.
More modest homes located near a high-value property increase in their value while undermining the value of the highest-valued property in a local market, which can compromise the ability of the seller to set an asking price which reflects the home’s true value and shows a return on their investment. In a market evaluation, this phenomenon is called the negative effect. Every home is an investment, so make sure you engage the services of a professional Realtor® to help you make an informed, well-planned decision that’s based on the local home value trends. Choose a home whose value will appreciate over time, and you’ll never suffer from buyer’s remorse.