There are many factors that can influence the value of a property. Location is obviously one of the most important factors as demand for housing at a particular area has a big impact on prices. When looking for real estate make sure to find out the general pattern of property value in the area you want to live.
It is always a good idea to purchase a home where the trend of property value is increasing as this means that over time you will be able to take advantage of appreciation in the value of your home. The average for most locations is around 5 percent per year but some regions due to heavy demand may experience as high as 10 to 15 percent increase in property value each year.
The size of the house also influences property value as larger properties will command higher prices. Remodeling or making additions and improvements can also make a big impact on the price of a property. For example if you do a complete remodeling of the kitchen or bathroom this will usually add quite a bit of value often far more than the cost of the remodeling job.
Adding a carport to a home that did not have one can also add significant value much greater than the investment made on the carport itself. Of course complete renovations and adding new rooms or a new level altogether will also increase the property value. The great thing about real estate is that most modifications made usually increase the property value quite greatly and you usually end up making much more than you spent in the improvements if you do decide to sell.
This is one of the reasons you really should consider buying a home rather than renting because a house is like an asset that in most cases will grow in value and can pay you back quite significantly if you make a wise investment. The best things that increase property value are those improvements that make the house look newer and more expensive to potential buyers.
For instance just improving the heating and ventilation system may not add much value because potential buyers will assume that the house should already have a good heating and ventilation. However something as simple as replacing a dull wallpaper with a more bright wallpaper or paint job can return much more money than you spent.
Also making sure the front yard is clean and neat, even consider getting some landscaping done, and also making sure the driveway is painted or has good tiling that is not broken can all add more value and put more money in your pocket. Just make sure the house looks impressive and not broken down. Even minor flaws can turn off buyers and they will not want to pay the higher price.
The age of the house is also important as older homes that are over 25 years old may need a complete makeover whereas younger homes could just use a touchup. The best places to focus as far as improvement are the kitchen and bathroom. These two areas can increase the value of your home the most so put the money in to keep them looking great and make sure to maintain them properly. Also the best time to sell a property is when interest rates are low and people are eager to buy so you may want to wait for this kind of period to be able to attract the highest price for your home.
