Good location

A good location can signify different things to different people but it has main objective factors that determine the property's value. Depending on your personal needs and preferences, you may not be able to buy a property with all of these factors. But the next time you're shopping for a new property, keep the following factors in mind.

1. Centrality

Where you choose to live in a city or town will undoubtedly affect how much you pay for the property. Land is a finite commodity, so cities that are highly developed and don't have a lot of room for additional growth, tend to have higher prices than cities that have too much room to expand.

In most cases, this urban sprawl occurs as a result of population growth. When sprawling cities experience a population exodus, it's the outlying areas that tend to be affected. This is part of how location impacts the fundamental economic tenet of supply and demand.

2. Neighborhood

The neighborhoods that appeal to you will largely be a matter of personal choice. However, a truly great neighborhood will have a few key factors in common: accessibility, appearance, and amenities. Your neighborhood may also dictate the size of the plot on which your house is built.

In terms of accessibility, you should look for a neighborhood that is easy to access other parts of the city. Commuting to and from work is a big part of many people's day, so a house with easy access to roads and transportation will be more desirable than one that is tucked away and that can not be easily accessed.

The appearance of the neighborhood is also important. Landscaping and space tend to be desirable.

A great neighborhood should also include important amenities such as stores, shops, and restaurants. Most people like to frequent places that are convenient. If you have to drive a great distance to get to anything, it's likely to make the area the house is in less attractive. Schools are another important amenity. Even if you don't have kids, the quality of schools and the distance from the house are both important factors to consider.

Finally, don't forget 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.

3. Development

It is not just the present amenities that matter, but future ones as well. Plans for new schools, hospitals, 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 property, 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.

4. Exact plot Location

You also need to take into consideration where the house is actually located. In this instance, there are a few things you should keep in mind as you conduct your search.

Is the house you want to buy right on a busy road or very near to a highway? Is houses standing next to or back onto commercial property, such as a store or petrol station, or houses on streets that get an unusual amount of parking traffic and parked cars, such as those near large churches. On the other side,is house with a wonderful view or near a water front. All these have to be weighed into.

5. The House Itself

There's one aspect of house hunting that tends to surprise people. Let's say you've narrowed your choices to two homes that stand side by side in a great neighborhood. One needs repairs and updates but has a huge plot. The other is in top shape but sits on a land size smaller than the one that needs fixing. The prices of the two homes are similar. Which do you choose? In most cases, the house in need of repairs is the better investment.

The reason: your house can be renovated. The plot size, on the other hand, will maintain its value (or likely appreciate). If you pull down both houses, the larger plot would sell for more. So, if you can, choose a bigger, better-shaped, or better-situated plot over a nicer house. The less attractive house can always be updated, added on to, or replaced altogether, but the plot size can't be changed.

In conclusion

Location isn't entirely subjective—in fact, it's 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, that will help ensure your investment appreciates in value over time.