Know About the Neighborhood Features that Increase Property Values
When looking to buy a home for yourself or dip your feet into the real estate world to become an investor, you will begin searching for the homes that have the best bang for your buck. Immediately, you will notice neighborhoods that stand out based on their property values that are situated next to other neighborhoods with similar homes that may have lower values. So you are left to scratch your head on what makes the one neighborhood different from the other.
Certain Neighborhood Features Affect Real Estate Prices
When purchasing real estate, there are many factors that influence the value of the home. The square footage and interior amenities will usually attract buyers, yet the neighborhood features will also have an impact on the pricing. Curb appeal, local schools and other amenities can instantly raise — or lower — values, which will end up affecting how much you pay for the property now as well as the future resale value when you place the home back on the market. Here are several neighborhood features that can control home prices:
Walkability and Public Transportation
Walkability in a neighborhood has become very appealing for potential home buyers. They want to live in a neighborhood where they can go out during the summer and walk a short distance to the park, local store, or restaurants. Even when desired conveniences are a little way off, having transportation other than their own vehicle is often desired by a wide range of people such as college students going to nearby classes and seniors going to social events or to the bank.
Families jump on purchasing homes in a great school district, especially when it is only a few miles away. Schools will instantly have a factor in home values, and have an influence on the type of demographic that are in the region. This circumstance is also something to keep in mind if you are renovating or building a new home that will eventually be sold in a few years. By appealing to families who want to send their children to the nearby school during the construction of the house’s interior features, you may have a greater chance of selling the property at the price you desire.
Is there a public park or swimming pool nearby? Does it have entertainment venues, shopping plazas, movie theaters or grocery stores? Are there career opportunities in the area? All of these factors play in the types of property values in neighborhoods. While you may see a boost in prices, you also shouldn’t be surprised if there is a decrease in the home values based on the condition and age of the community amenities. It’s great to have access to a shopping plaza, yet neighborhood property values won’t rise if businesses aren’t interested in renting space there because the plaza hasn’t been maintained well.
There are many things throughout the neighborhood that has an influence on how property values increase, including the types of homes in the location, crime rates and education. Researching the characteristics of the neighborhood can allow you to have a greater understanding of real estate values in certain communities where you plan to purchase or sell a home.