How Important is Location When Buying A House?
"Location, location, location" is a common saying in real estate. And it is a good advise, but unfortunately most people have no idea what it really means.
A good location means different thing to different people, but there also objective factors that determine a home's value.
A great neighborhood will have a few key factors in common: accessibility, appearance, and amenities. Your neighborhood may also dictate the size of the lot on which your house is built in.
In terms of accessibility, you should look for a neighborhood that is situated near a city's major transit routes and that has more than one point of entry. Commuting to and from work is a big part of many people's day, so a house with easy access to roads and public transportation will be more desirable than one that is tucked away and can only be accessed by one route.
Finally, think about safety. A neighborhood that has a low crime rate and is an inviting and safe place to be outdoors and commune with neighbors is the type of place where most people want to live.
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 shopping for a home, try to find out whether any new public, commercial, or residential developments are planned and consider how these additions might affect the desirability of the surrounding areas.
P.S. A property's close proximity to a fire station, hospital, school, or community center can lower its value because of traffic and noise.
If the house you want to buy is right on a busy road or very near 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 would apply for houses that stand next to or back onto commercial property, such as a grocery store or gas station, or houses on streets that get an unusual amount of parking traffic and parked cars, such as those near large churches or community centers.
P.S. A house with a wonderful view or near a body of water is likely to be more valuable, both now and when it comes time to sell it.
Location is based on a fairly static set of criteria. When you set out to shop for a new home, make sure the neighborhood isn't just desirable to you but has objective qualities, such as attractive amenities, safe streets, and good schools, that will help ensure your investment appreciates in value over time.
Please, contact me if you have any questions or need help finding that perfect location for your next house!
Associate | REALTOR®, LOCAL Real Estate