Location, location, location is a proverbial statement and applies to property values too. Understanding your neighborhood's value is crucial before you spend money on home improvements,additions or remodeling. Before purchasing a home in a Raleigh area neighborhood; knowing vital information is paramount. The questions that need to be answered pertain to whether or not the neighborhood is stable or appreciating in value or is the subdivision going through a real estate cycle. The neighborhood may be experiencing 

revitalization- what external factors may affect the value of homes now or especially in the future, ie. zoning changes,road construction,utilities etc.

Neighborhoods can go into a state of neglect or decline over time. Not always is this neglect/decline readily apparent  but it most certainly will bring down your property value. Neighborhood decline is most evident when homes exhibit excessive wear and tear,poor landscaping of the homes and street entry ways as well as roads in disrepair. Declining neighborhoods usually have changing populations as families and local businesses move to more prosperous neighborhoods.

The majority of neighborhoods not experiencing decline are stable or are either newly built or have already experienced a real estate cycle, such as revitalization.Revitalization happens when a neglected neighborhood's purpose or zoning changes or a period of renewal begins. Revitalization usually results from economic growth that increases the demand for housing. It's important for all homeowners to understand where in the cycle of real estate the neighborhood exists and how  real estate cycles occur. In terms of  your homes value; it is especially important for you to recognize the impact of your neighborhood on your home.

Despite home price declines in many cities, Raleigh North Carolina remains an excellent place to invest in real estate and remodeling or expansion projects as they are and excellent way for homeowners to add value. According to the 2008 Remodeling Magazine's survey, the top 10 payback projects were exterior related. When you compare the national averages, replacement projects that boost curb appeal ie. siding, windows, and decks give you the greatest chance of recouping your money. Interior: only kitchen remodels on a moderate scale can compare.

1. Upscale fiber cement siding (86.7%)

2. Midrange wood deck (81.8%)

3. Midrange vinyl siding (80.7%)

4. Upscale foam-backed vinyl (80.4%)

5. Midrange minor kitchen remodel (79.5%) 

6. Upscale vinyl window replacement (79.2%)

7. Midrange wood window replacement (77.7%)

8. Midrange vinyl window replacement (77.2%)

9. Upscale wood window replacement (76.5%

10. Midrange major kitchen remodel (76.0%)

 

To decide if your neighborhood will support your home and a remodeling or expansion project, we highly recommend you consult with an experienced Realtor like Michael Milson.

 What's Your Neighborhood Worth? Compare recently sold homes in your neighborhood.

Contact Michael Wilson today for a market analysis of your home with an in depth analysis of your neighborhood