About Joe Auzenne

Auzenne serves as the Managing Broker of the Chesapeake office of The Real Estate Group and also instructs classes in contract interpretation and writing; agent sales development; and agent marketing systems and utilization. Auzenne is a qualified instructor/teacher having earned the designation of “Master Instructor” while a member of the armed forces.

When will I begin to see appreciation if I buy now?

What is appreciation? Why do property values go up?  There are many factors that may cause the property to increase in value over time.  Of course, property appreciation cannot be guaranteed but understanding why you should buy a home or investment property is fundamental to making a sound decision to purchase.  One such bench mark is inflation.  Inflation is caused by an increase of the amount of money in circulation.  The value of money declines and the end result is increased retail prices.  Real estate will usually appreciate in value over time due to rising inflation because of the cost to replace the property has increased.  Is the economy ripe for increased inflation?

 Appreciation can be viewed as short or long term.  Real estate should be an integral part of your investment portfolio.  Just like stocks and bonds, real estate should be held for the long term to capitalize on future appreciation and tax incentives. Appreciation varies by market, so it’s important to look closely at local pricing trends. Nationally, there are indications that values will begin to rise this year. NAR projects home prices to grow slightly (0.5 percent) in 2011. Macro Markets LLC, a financial technology company, recently asked more than 100 housing industry experts to project housing prices through 2015. The results—released in the company’s 2010 Home Price Expectation Survey—show that experts think prices will start increasing in the second half of 2011, reaching a cumulative appreciation of more than 10 percent between now and 2015.

About Joe Auzenne

Auzenne serves as the Managing Broker of the Chesapeake office of The Real Estate Group and also instructs classes in contract interpretation and writing; agent sales development; and agent marketing systems and utilization. Auzenne is a qualified instructor/teacher having earned the designation of “Master Instructor” while a member of the armed forces.