Friday, January 13, 2017

Factors influencing real estate value appreciation

While buying residential apartments in Kerala, Karnataka or Tamil Nadu one of the main things we consider is the appreciation of the value of the property. There are many factors which influence the growth of value and appreciation of the property. Let us take a look at few now!

Appreciation of a property happens due to many reasons. One of the primary reasons is the development of the locality and infrastructure in the area. Buying homes in areas which already have all kinds of amenities and modern infrastructure will see appreciation with time due to various other factors like new residential spaces and other luxury infrastructure additions to the area like malls, entertainment hubs and other recreational areas.

Connectivity to main areas of the city through various public transportation and better road system also adds to the value appreciation of the property. For instance, when a property is located close to a National Highway or Express Highway, the value of the property is comparatively better than when it is in another place. Similarly, proximity to metro stations, railway station and airport also increases the property value.

The city of location also matters while looking at the property value growth. In cities like Bangalore, the property prices are already high, but in the smaller cities like Coimbatore, Tirupur, etc. where there is much scope for expansion, new projects and infrastructure, the housing value will be initially affordable but will have tremendous scope of growth in a very short span of time!

Though there are many factors influencing the real estate value appreciation in various cities these are few of the important ones.