There are a multitude of things that are associated with the changes in the value of a property. The price at which you buy or rent fluctuates based on a lot of factors which impact at various parts of your living. Read on below to find out about the 5 things that impact your house value.
The most common realty saying is Location, Location, and Location! This is by far the most important thing that you can pay attention to. Property in a less developed area will cost less as opposed to a currently underdeveloped area. In a developed area, it would be hard to find property in the first place but if you do, it will be very expensive.
Location is normally grouped under in hedonic pricing which for most homes translates into some key factors that impact your lifestyle. The key things to notice about a location is its proximity to sources of employment, educational facilities in the vicinity and sources of entertainment.
As a general rule, look for a good locality.
Buying or living in a society has the added advantage of coming with some really good amenities such as 24-hour security, proper sewerage, electricity, gas, carpeted roads, and so on. These add to the cost overall. For example, a two-bedroom apartment in Bahria Orchard starts at PKR 11,000 according to sources. This less cost – in an otherwise prime location – is due to the fact that there is no gas available there currently.
Amenities improve the overall quality of living and hence the places with more amenities, the better.
This refers to how good or bad the condition of the place is. Is it in dire need of repairs or is it still liveable and if yes, then for how long? Such things such ideally be addressed the minute you see the damage. This ensures that the property lasts for a longer time. Not only that, timely repairs and fixes also ensure that the value of the property does not falter and that it gives you good value too.
One of the key factors in your house’s value are the features it has. For example, some house styles are more in demand than the others. Other features include automated doors, blinds, walk-in closets, Jacuzzis and digital locks and so on. These are considered premium features and add a considerable amount to the value of your property.
Another important macro level factor is the condition of the market. If there are fewer genuine buyers and the market is flooded with similar properties, you can expect the value of the property to drop. This means no amount of value addition will work till the market self-regulates or gains a few points.
So, these were some of the reasons due to which the value of your property fluctuates. Would you consider these factors when buying or selling a property? What are some of the other factors that you think impact the value of property? Talk to us in the comments section below.