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Reasons Why Location Reigns Supreme in Buying a Home

     
November 17, 2014  |  Real Estate
Reasons Why Location Reigns Supreme in Buying a Home

It’s all about the location – that’s what realtors, investors and experienced home buyers will tell you in your search for a new home.

It’s a breeze to make modifications to a property – make it big, downgrade it if you should; renovate rooms and spice up the decors; add rooms or improvise some. But you can never change location, unless of course, you make another move.

Some neighborhoods go through changes themselves over time. Some improve, some worsen. Now the question is, do you look for the best property in a not so nice neighborhood? Or settle for a worn down home but in a nice neighborhood?

 

Buying in a great location at a reasonable price

If prime location is on top of your criteria but your budget is limited, consider getting a home in a location with a slightly undesirable feature like being located on a busy street, near the freeway or in a commercial area where peace and quiet could be compromised. It may be in the best school district or in one of the safest blocks, but with some disadvantages, the price will be considerably lower.

Buying the most desirable house in the neighborhood

Buying a high-end home or a property at a higher mark is only a good idea if you plan to stick around for a long time. If you will pay more for a home but only foresee staying for a few years, this kind of investment is not exactly a good idea. It should be long enough to cover your selling closing costs.

An A+ home will hold its value for a long time so expect competition in making offers for a move-in ready home in a premier neighborhood.

 

Buying the best house but in a substandard neighborhood

One word to describe this move: Risky.

There are financial consequences for buying a fully renovated, ready for move-in neighborhood in an area that is lacking in many things. For one, you may never gain equity or fully recover from your investment. Hence, this is only recommended for long-term experienced homebuyers who can spare many years staying in that house long enough to recoup the money spent for that property.

Buying a low quality house in a bad neighborhood

This one here is a real estate gamble…but believe it or not, it could pay off.

Buying a not so attractive house in a not so nice neighborhood should be carefully considered. There are homebuyers however, who are willing to take on the risk of living in a transitioning neighborhood. Areas are changing so fast these days that a once unsafe or poorly developed locality become the next place to be. We can’t really tell which neighborhoods will change and how fast or slow the developments will be.

If you’re up to the challenge of doing some home improvements and live in an area that is not yet at its prime or far from being an appealing residential district (for now), know that with some renovation, you can build equity and in time, you can also gain from a potential upside if and when the locality changes…for the good!

 

Buying a poorly conditioned home in an impressive neighborhood

Nobody can take away a good location. Realtors can tell you that buying in a good area is a good financial move in home buying. There is always the option of renovating a rather worn down home to make it good as new and increase its value.

If you are agreeable to do some work for home improvement, then going for a home that needs work will not be a hindrance for you. Once the work is done, then you can say hello to equity. If it’s in a good location, you are in good hands.

 

If you are looking for a home to buy in Colorado, The Blake Team can provide you with inventory that are directly from the banks, including homes that are not being displayed online such as For Sale by Owners (not found in the MLS), recent expired listings, and pre-listed foreclosures.

The Blake Team is a full-service Real Estate team based in Denver, Colorado specializing in working with Buyers & Sellers, foreclosures/HUD, short sales, and luxury properties.

For a more extensive home listing in metro Denver and all around Colorado, visit Find All Home Denver Home Listings

About the author

The Blake Team is a full-service Real Estate team based in Aurora, Colorado specializing in working with Buyers & Sellers, foreclosures/HUD, short sales, and luxury properties. A team with years of experience and an impressive success rate that made it the No.18 real estate brokerage in the nation, as well as the No.1 Keller Williams agent in Colorado led by CEO & Founder Lisa Blake. The Blake Team is your No. 1 choice for getting your dream home!