When dealing with real estate comps, Investors quickly learn what the single most important factor in property valuation is. We all know it is location, location, location every time!! If you have been involved in any decision regarding purchase or sale of real estate, then you know the importance that location and neighborhood has in investment decisions. In all types of properties including residential properties, shops, land or farmhouses, every single party is concerned about its surroundings.
How can you zero in on that prime location? Well, relying on InvestorCompsOnline to give you the comps will point you in the right direction. Residential properties should ideally be located in some urban areas with availability of all basic necessities like electricity, clean water, gas, etc. Amenities like schools, hospitals or shopping malls in the vicinity are a plus. And while it’s good to have a residential property in the inner-city, buying a house at an overly crowded road or congested shopping mall can backfire because of noise and all the hustle.
Another important factor is the crime rate for both residential and commercial properties. Investors who are looking for long term investment can earn huge profits by investing in some area going through major development works or infrastructure programs. Buying a piece of property in this area when the work has just begun will be comparatively inexpensive, hence offering huge profit margins.
Along with these basic rules, you should also consider your personal likes and dislikes about the neighborhood when finalizing a deal for long term investment purchases.