What makes a neighborhood appreciate in value over 20 years?

[EasilyAmused]

Originally Posted by jimmyev

What neighborhoods that existed in 1990 have seen great appreciation? The only ones I can think of are all inside the loop...Montrose, West U, the Heights, Midtown, Museum District, Westbury, Upper Kirby...

Clear Lake and Friendswood seem stable, with annual appreciation of 1-3%, but that's not great.

Areas outside the beltway on Memorial have almost tripled since 1990. Other's merely doubled. Some neighborhoods in 77077 outside the Beltway along Briar Forest have appreciated 100k in the past 5 years.

Spring Valley and various neighborhoods North of 10 have certainly seen gains.

Garden Oaks and Candlelight Estates have almost doubled in the past 10 years in some locations. Westbury has seem recent appreciations. Meyerland, a long forgotten burb, took off about 7 years ago and it doesn't seem to be slowing.

Sure, some MPC neighborhoods "hold" value. Very few, if any, take off to 100% gains. A most neighborhood depreciate the minute the house is purchased after build, because something new is being built around the corner.

[modster]

Most areas that have gone downhill have done so as people left for the next shiny new ring of development further out. They seem to go back up again as people priced out of the closer in areas they really wanted then start looking at the next neighborhood out on the in-town housing food chain.

[tstone]

Originally Posted by jimmyev

Clear Lake and Friendswood seem stable, with annual appreciation of 1-3%, but that's not great.

Not great, but according to a Chronicle report I posted in here awhile back, they also didn't go down for 2009 like most of the Houston area. Having long-term stability is actually a good thing. I also think EA's 11 requirements are quite valid. Most of those requirements we have, but a few we don't; some have more than others and the pricing per sq ft reflects that. I have family in the original section, who bought a house in 1970 for $35k and is now worth around $200k. That's about a steady 4.5% increase, or double every 15 years... which is pretty consistent over the entire area. It's essentially following outer Memorial's model. I'm hoping it will continue to do so; while in Memorial you won't have to worry about such things as much.

[westres1]

Dont buy new if your looking for quick appreciation. Buy the lowest price home in the most desirable neighborhood and work on it as you live there.

[jimmyev]

Looking around at different metro areas, I'd say that what helps appreciation the most is having transportation options - being in a walkable (maybe even bikable?) area within a 5-10 minute walk of frequent mass transit with easy access (5-10 minute drive) to the freeway/tollway system.