The value of a home is usually land value + improvements. The improvements might see some appreciation as raw material and labor prices increase, but most of the value is in the land.
It is 100% reasonable to assume land prices will increase over time. No one is making any more of it, and the wealth and population of the country (also planet) continues to increase. An increasing amount of resources are bidding on a static amount of product. To put this in another way, if the value of land in the US was the same as it was 250 years ago then we would be giving it away by the square mile.
It is 100% reasonable to assume land prices will increase over time. No one is making any more of it, and the wealth and population of the country (also planet) continues to increase. An increasing amount of resources are bidding on a static amount of product. To put this in another way, if the value of land in the US was the same as it was 250 years ago then we would be giving it away by the square mile.