Added Value: Factors for Increasing a Property´s Value
Any property, large or small, must have a series of features that are attractive to a potential buyer. Things that ensure value are drinking water, refrigerator, functional kitchen, first-class finishes, natural lighting, good ventilation, little noise pollution, good electrical installations, a new boiler installation and AC (if you need someone for that last one you should contact: https://perth-heating-solutions.co.uk/, they are the best in the Perth area), among others.
It is of little importance if it is an old property inherited from the parents or grandparents if it does not have certain minimum habitability requirements. Although the size of the surface is also relevant, the deterioration factor represents a business opportunity to revalue a property with the appropriate strategy.
Know what is the added value and the factors so that you can make a well-thought-out and successful investment.
The “Mantra” In Real Estate: Location, Location, Location
The valuation of rural, commercial, and urban properties is subject to the price per m². Said appraisal is a direct consequence of the site where the property that interests you is located. The more it lacks public services, access roads, green areas, schools, shops, security, and more, the lower its value.
A trend that occurs among some investors has been the acquisition of poor homes or apartments in various geographical areas due to their low price. This tactic is based on property improvement through repairs and remodeling. In this way, you can guarantee a more favorable valuation at the time of leasing or selling it.
Added Value from the Development of the Area
Starting from the location of the property, it is important to understand its value may also be conditioned by public or private initiatives within the sector to which it belongs. This means you must know well what type of projects (Examples: Arrival of Malls to the Area, improvement of connectivity, improvement of public services, etc.) are being carried out and how they can positively affect the price of the property.
This point is important because this type of urban development that seeks to benefit a community generates an indirect increase in the price of land. Unlike other circumstances in which the owner has to carry out some restoration or remodeling (like installing a new boiler for the heating system), the home, the premises, or business benefits from the actions of others.
Panoramic as an Added Value
Following the principles of good location and excellent distribution, having a privileged view is an important factor in a property; especially for sale. This is largely due to an increased demand for sustainable structures associated with landscapes or green areas that present a different aspect of the city.
The trend towards houses, flats, and premises near parks, with ocean views and unobstructed to better see our surroundings, continues to grow. Either because we want to feel a greater ecological connection or we enjoy the spectacles that nature offers, it is an added value that tends to increase the value of a property.
Quality Is Worth More than Age
Buying a property is one of the least risky investments that exist today, the revaluation of properties; profitability, investment projects, and growth in the real estate sector indicate this. However, any investor, before embarking on an adventure of this magnitude, must know a series of key financial concepts like the added value. Not always everything is going to be limited to have an old boiler replaced and called a day.