Location, location, location!

By
Real Estate Agent with The Berkshire Group Realtors

LOCATION, LOCATION, LOCATION!

100 Real Estate Tips in 100 Days (Day 11)

This old adage seems to come up most every time someone talks about buying or selling a home. Seems like a good rallying cry from the sideline observers, and there certainly is a great deal of truth to the words. So let's look a little deeper:

  • First and foremost, as a consumer, your only opportunity to have a choice in location is at the time of purchase. AS obvious as this fact is, it is forgotten or ignored by the average consumer way too often. Buying any real property not well located for its purpose is a mistake that usually manifests itself at the time of sale.
  • Remember, at the time of sale, location cannot be affected by the seller except as a function of price. As an example, a certain style and model of a house will sell for 5% to 10% more in the interior of a subdivision that the same style and model located at the edge of the same subdivision backing to a 4 lane highway. So why do consumers buy the house backing to the highway?
  • Emotions play a large role in the purchase of anything, especially a house that will become a home. Builders generally maximize the financial benefit of developing a division of land by building as many homes as possible on that land, building on the lots backing to that lane highway. This is done for reasons of profit, and is not inherently good or bad. There is no good reason why a consumer should buy a house that is located next to our proverbial highway, but many consumers do just that. They do so often because of poor or no advice. It is very important to have the services of an experienced professional to provide guidance when purchasing any home, but most especially a new builder home. All of the builder incentives in the world will not make up for that poor location when it comes time to sell.
  • The home market has price fluctuations just as any market. The poorly located home purchased at the height of a market can become a nightmare when trying to sell at the bottom of the market.
  • A consumer should always perform an independent investigation of any undeveloped land in close proximity to their "dream" house. Do not rely on anyone's statements regarding future land use. Due diligence performed by the buyer with school districts and other governmental entities will provide great peace of mind as the decision to purchase is considered.
  • Always consider local government services, water sources, transportation corridors, shopping locations, schools and houses of worship when buying. Those things may not be important to you, but they will almost always be important to the future buyer of your home.

Remember, the only time that a consumer has influence on the location issue is at time of purchase.

close

Re-Blogged 1 time:

Re-Blogged By Re-Blogged At
  1. Mike Hendren 03/26/2009 06:41 AM
Location:
Colorado

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainmaker
237,971
Marlene Bridges
Village Real Estate Services, Inc. - Laguna Hills, CA
Laguna Homes|Laguna Condos|Laguna Real Estate

Hi Kristal - Great tips for buyers.  Love your idea of 100 in 100.  One more post and you'll be at 500!

Mar 25, 2009 04:59 PM #1
Ambassador
1,542,383
William Johnson
Retired - La Jolla, CA
Retired Real Estate Professional

Hi Krystal, I wold hope that this 100 tips in 100 days is eventually going t become your entry in the book market. Ever thought about that. These tips are excellent and so well thought out. BTW, Congrats on the 500 post mark which I see you will reach tomorrow.

Mar 25, 2009 05:49 PM #2
Rainmaker
363,351
Susie Blackmon
Ocala, FL
Ocala, Horses, Western Wear, Horse Farms, Marketing

Hi Kristal! You are THE BOMB! Missed you at RETech South in ATL. You provide incredible inspiration. Many thanks.

Mar 25, 2009 09:06 PM #3
Rainmaker
565,629
Mike Saunders
Lanier Partners - Athens, GA

Kristal - all good points, looking forward to all the other tips. Just one more thing to add though, location can be influenced later. Pay attention to all zoning and use proposals, and, if pro or con, organize the neighborhood, meet with zoning and other officials and committees. Get your input into the system and affect any decision making that will impact your neighborhood, your home and ultimately the value of it.

Mar 26, 2009 12:10 AM #4
Rainmaker
1,478,995
Maureen McCabe
HER Realtors - Columbus, OH
Columbus Ohio Real Estate

I am loving your series....  I have been thinking of Re-Blogging some of them. Not all translate across state borders, or even city lines but this one sure does.

Mar 26, 2009 01:04 AM #5
Rainmaker
235,410
Patricia Beck
RE/MAX Properties, Inc., GRI, CDPE - Colorado Springs, CO
Colorado Springs Realty

Buying a home is so exciting that many buyers forget about this very important component.  Buyers need to think about resale when choosing their home.  Great advice!

Mar 26, 2009 01:37 AM #6
Rainmaker
1,478,995
Maureen McCabe
HER Realtors - Columbus, OH
Columbus Ohio Real Estate

it is so hard in a seller's market for buyers to SEE location, location, location especially in a subdivision.  

Mar 26, 2009 01:43 AM #7
Rainer
145,279
Mike Hendren
Mike Hendren Photography - Cloudcroft, NM

Kristal, I'm suire enjoying your "100"!  Location (x3) - seems so simple - but so many factors to consider.  Thanks for consolidating them into one place.  I think I'll "Re-Blog" this one.

Thanks, Mike

Mar 26, 2009 06:39 AM #8
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Ambassador
935,173

Kristal Kraft

Selling Metro Denver Real Estate - 303-589-2022
Ask me a question
*
*
*
*
Spam prevention

Additional Information