Why is location so important in the Real Estate Market?
These four locational factors affect the resale value (and overall property value) of a home.
Nearby schools Is the home zoned for quality public schools? Is it located near well-regarded private schools? How is the overall local school district? These are questions to consider when assessing a home’s location and potential resale value. This is especially true if the city you live in is family-oriented, and if you have school-age children. Remember, though, that even if you do not have school-age children, the quality of the schools remains an important consideration. Owning a home with some schools around is one of the best ways retain and grow your home’s value. Be sure to do your own research on the community’s local schools before purchasing a home.
Amenities and transportation options
Buyers often want and need close access to amenities and transportation options. This means relatively close proximity to restaurants, grocery stores, dry cleaners, shopping and entertainment. It could also mean a home situated near important roads and public transportation options, such as bus stops, subway stations and public bike-share locations. When looking at a home, be sure to assess how close the home is to these important amenities. Unless you’re looking to buy a vacation home on an almost deserted island, close proximity to amenities will typically improve a home’s value.
For better or for worse, you can’t change your neighbours. If you have less-than-desirable neighbours, such as a fraternity house or neighbours with loud, dangerous dogs, this could negatively affect the resale value of your home. Before buying any home, you should spend ample time in the neighbourhood. Take a walk down the street and try to meet the neighbours if you can. You should be able to get a good sense of who lives there simply by spending time in the area. Do you prefer to live in a neighbourhood with young families or retirees? Are you looking for a tight-knit community feel or a less neighbourly community? These are personal preferences that are important to consider when buying a home.
Future appreciation potential
As any real estate investor will tell you, location is key when it comes to a property’s value and future appreciation potential. The reason? Oftentimes, location dictates the demand in a real estate market. If the home is located in a desirable neighbourhood in a location where people are moving, then you can expect the home’s value to stand the test of time – and even appreciate – throughout the years. As the demand for a location increases (and as the location improves), the appreciation will also continue to increase.
Looking for a new home, here in Tavira? Give me a call…