How Location Affects a House’s Value

Dear reader, last holidays I spent some time learning about real estate, and I’d like to share this small insight with you. As they say, location, location, location.

Choosing a home isn’t just a matter of finding a house with the right number of bedrooms and bathrooms. Your home is more than just whatever slice of real estate you’re renting or buying. Your home is also the larger area surrounding that property. The street. The neighborhood. The city. The state.

Whether you’re conscious of it or not, location plays a major role in how you decide where to put down roots. It likewise plays a major role in deciding the value of your property. Before you start asking “What is my home worth?” you have to ask “Where is my home located?” The answer to that question matters a lot to both buyers and sellers.

Here are some key location factors to take into account:

Job Opportunities

Property isn’t cheap. In fact, it’s one of the most expensive investments the average person ever makes. That’s why it’s important to ensure you get back something for every dollar you put into it. And when it comes to talking about dollars and sense, your starting point should always be the economy.

Having a job already doesn’t mean you or a family member won’t need a new one later. On top of that, a booming job market usually means better job security and higher pay. Moving to a region with a dwindling job market, conversely, may be a warning sign of future job loss. Expect the unexpected.

Crime Rate

The best economy in the world isn’t worth anything if you’re in no condition to enjoy it. In other words, the last thing you want when moving to a new area is to wind up victimized or burglarized.

No place is completely immune from danger, but you can give yourself a better chance by avoiding neighborhoods with high crime rates. The rule of thumb is that the higher the crime rate of an area, the harder it is to sell property there. This is a no-brainer. Would you want to live in such a place?

Nearby Amenities

While many people enjoy living in relative seclusion, the vast majority of potential homeowners prioritise convenience and security. The best way to ensure both of these things is by finding property in a location that is close to amenities such as schools, police and fire stations, and hospitals.

Emergency services and educational opportunities aren’t the only amenities that matter, however. Nearby grocery stores, shops, and restaurants also drive up a property’s desirability, and therefore its asking price. Many people find that paying a higher rent or mortgage is often a small price for an overall better quality of life.

Leave a Comment

Your email address will not be published. Required fields are marked *