Your Property Value Could Be Affected By These 7 Things
Insights from Better Homes and Gardens Real Estate Advantage Realty.
Property features like location, condition and views are known to impact value. However, there are less obvious elements of a property that may significantly influence its perceived worth. Here are a few examples:
Zoning: The more flexible the zoning — including the additional types of improvements that can be made — the more valuable the property.
Easements: Easements in your property’s favor may enhance its value, while easements encumbering your property may detract from its value.
Neighborhoods’ restrictive covenants: Some neighborhoods have rules that could enhance or detract from the value of the properties in that area. For example, properties with view-plane restrictions ensure that a neighboring property’s view is preserved, but they also limit the buildable area of the properties on which the view-plane restrictions are being enforced.
Home’s history: A property’s value may increase if a famous person lived there before, but notorious incidents can detract from its value.
Potential road widening: This allows another party — typically a government agency — to potentially take a portion of a property to widen an adjacent road, which could significantly impact what can be built on the property in the future.
Are pets allowed: Many condos have limitations on pet ownership. If a condo association does not allow a buyer to have a pet in the unit, it is unlikely that that buyer would purchase the unit at any price.
Flood-zone classification: Flood insurance can be expensive. Typically, high-risk flood zone designations lead to higher-cost flood insurance that can affect the desirability and affordability of a property.
These are just a few examples of things that should be considered when determining an offer price as a buyer and a list price as a seller.
Myron Kiriu is a Realtor and owner and CEO of Better Homes and Gardens Real Estate Advantage Realty. To contact him for your real estate needs, call (808) 864-9000, email firstname.lastname@example.org or visit myronkiriu.com.
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