“Location, location, location”
Is a common mantra in real estate. And it’s good advice—exc
ept for one thing: Most people have no idea what it really means.
Why is real estate location so important?
The reason: your house is a depreciating asset.
Though most people make a decision to buy a property based on how much they like it, when you buy a property, you are also buying a plot of land. The property (house or Flat) that is currently standing on that land can be renovated, remode
led, or even demolished and turned into new. The one thing you can’t change is the location of the land you own.
This means that location is often the single most important driving force behind the value of a property.
A good location can mean different things to different people, but there are also objective factors that determine a home’s value.
Depending on your personal needs and preferences, you may not be able to buy a home with all of these factors. After all, a home is much more than just an investment. However, the next time you’re shopping for a new property, keep the following factors in mind.
Neighborhood
A great neighborhood should also include importan
t amenities such as grocery stores, shops, and restaurants. Most people like places that are convenient. Schools are another important amenity. Even if you don’t have kids, if you want to sell your home in the future, many buyers will be on the lookout for good schools. The quality of local schools and their distance from your house are both important factors to consider.
The transportation is also important. Consider roads and public transportation, such as bus stops, Metro & tram stations, and bike-paths.
Finally, don’t forget safety. A neighborhood that has a low crime rate and is an inviting and safe place to be outdoors and socialize with neighbors is the type of place where most people want to live.
Development
Are Any Changes Coming to the Area?
Research whether anything is going to substantially change the area, such as any planned developments or construction or new housing starts. Some changes could be positive ones that improve an area’s desirability.
It is not just the present amenities that matter, but future ones as well. Plans for new schools, hospitals, public transportation, and other civic infrastructure can dramatically improve property values in the area. Commercial development can also improve property values. When you’re searching for a new home, try to find out whether any new public, commercial, or residential developments are planned and consider how these plans might affect the desirability of the surrounding areas.
Lot location
You also need to take into consideration where the house is actually located. In this instance, there are a few things you should keep in mind as you conduct your search.
If the house you want to buy is right on a busy road or very close to a highway, you can probably get it for a lower price, but it will also be more difficult to sell later on. The same applies for houses that stand next to or back onto a commercial property.
On the other hand , a house with a wonderful view or near the sea is likely to be more valuable, both now and when it comes time to sell it.
A house with a fabulous view can be hard for a home buyer to resist, but seeing the mountains, water, or city lights from the comfort of home comes at a price.
Views are actually really difficult to measure, It’s a bit subjective. Imagine a house front sea with a stunning sea views, this could boost the value 75 to 100 percent or even more.
The house itself
If you can, choose a bigger, better-shaped, or better-situated lot over a nicer house. A less attractive house can always be updated, added on to, or replaced altogether, but the lot can’t change.
Conclusion
Location isn’t entirely subjective. Make sure the neighborhood isn’t just desirable to you but has objective qualities. That will help ensure your investment appreciates in value over time.
