A Perot Company

Why Hillwood Communities Homes Have Enduring Value

March 15, 2023

Having a place to call home is great, but homebuyers want more than a beautiful, comfortable, place to live. They also want a return on their investment. Home value appreciation is one of the many reasons homebuyers are drawn to Hillwood’s new home communities. Why? Because homes in Hillwood Communities are designed to have enduring value. Here’s how:

When it comes to creating a community where people will live for generations, and creating homes with lasting value, we take our responsibility seriously.  

  • We choose locations in fast growing, up and coming areas that offer the charm of small-town living while still being convenient to nearby cities. 
  • We work with local stakeholders like school districts and city governments to ensure we achieve a close, respectful partnership.  
  • We design new home communities, filled with deluxe amenities, that are purpose-built for convenient, joyful, active lifestyles. 
  • We incorporate a lifestyle program with a full-time, on-site lifestyle manager to engage and inspire residents to come together to meet, develop friendships, and live an enriched life.

And of course, we partner with trusted new homebuilders to offer energy-efficient new construction homes that have all the modern features buyers want. All of these factors, and more, explain why houses in Hillwood Communities tend to retain their value.

If you’re a prospective buyer who’s worried the real estate market may have changed, read this before you make your next move. 

Average Home Appreciation vs. Texas Home Appreciation

Because not all homes appreciate at the same rate, it’s important to look at a number of factors before making one of the biggest purchases of your life. 

The average home appreciation per year in the U.S. has historically hovered around 4%. The FHFA Housing Price Index reveals that home prices have increased by an average of 4.3%  since 1991 and 4.7% since 2000.  But in the last ten years (since 2012), home prices have increased, on average, 7.7%.

Texas housing appreciation rates are even more impressive given the state’s increasing popularity as a relocation destination. And for many Hillwood Communities, the odds of higher and faster appreciation are strong, given the strategic placement of our lifestyle communities. According to Neighborhood Scout, Texas housing prices have risen 125.74% over the last ten years, equating to an annual home appreciation rate of 8.48%.

Then there’s the normal home appreciation that comes with living in a new home community. Because of the way the community is built — in stages, over a number of years — homes in the later phases generally cost more that those in the first phases. This happens for a number of reasons, including materials and labor price increases, continued growth and development of the surrounding area, and the like.

“Buying in a master planned community is a solid long-term investment because a developer usually charges more for each building in every phase,” explains Pierre Carapetian. “Buying in the early phases of development will ensure that by the time the project is built, your property value will go up.”

8 Reasons New Home Communities Appreciate Faster 

Though no one can tell you exactly how much your home will appreciate (or how soon you’ll see that value increase) there are some features that just make a home or a neighborhood more attractive to buyers than others. These include all the essentials, like top schools and quality homes, but also extra conveniences that homeowners value.

The developers at Hillwood Communities make it a priority to include all these important features, and more, in our new home communities, to ensure buyers realize lasting value for their investment.

Residents of Hillwood Communities enjoy:

  1. Modern, energy-efficient homes by the area’s best new home builders
  2. On-site schools located within desired school districts
  3. Top locations
  4. Resort-like amenities
  5. Active lifestyle programs with community-building activities 
  6. Walking trails and open spaces
  7. Parks and playgrounds (including a dog park for our furry friends)
  8. Higher resale demand 

Buying for Maximum Home Price Appreciation

The home values in Hillwood Communities have been so historically strong, some people choose to buy a second home at one of our properties. 

Buyers choose a Hillwood Community for their second home to: 

  • Spend time with family that live in the area.
  • Enjoy a milder climate in the winter (particularly for snowbirds who choose our Central Texas communities to warm up during the colder months).
  • Take advantage of the recreational opportunities, amenities, and activities, as well as live near popular recreation areas.
  • Purchase a home to live in after retirement.

Some Hillwood communities have a 55+ section with special amenities, activities, and homes designed exclusively for active adults.  Additional standout features of these exclusive sections include an HOA that does most of the yard maintenance, making it a great place to enjoy an easier lifestyle.

Home Appreciation FAQs

The economics behind home appreciation can be complicated. Here’s a brief 101 to help you  understand a few of the basics. 

What is home appreciation? 

A home’s appreciation is the amount of monetary value it gains in the period of time from purchase to sale. 

Why do houses appreciate in value? 

Though there are a number of reasons homes appreciate in value over time, supply and demand, particularly in hot markets like Texas, are a major factor. 

What type of home appreciates in price the most? 

New build, single-family homes tend to appreciate faster and stronger than other dwellings. 

What are the factors that affect property value? 

Location, neighborhood, age of the home, size, and local markets all significantly impact the property value.

Protect Your Home Value in a Hillwood Community

Hillwood Communities in the Dallas-Fort Worth Metroplex, greater Austin, and greater Houston have homes and homesites available in some of Texas’ most in-demand areas forecast to have long-term growth potential. Many builders are also offering great buyer incentives. Explore Hillwood Communities to find a new home you can ~appreciate~ for years to come.