If there’s one decision that can make or break your home-owning experience, it is the choice of location. Since a home is an illiquid asset, it is critical to get the decision-making right.
What are the factors you need to consider when choosing a location? Here are some major points to think about:
1. Purpose of your home purchase:
Ascertaining the purpose behind your home purchase drives most of the decision-making to follow. Depending on whether the home is intended for self-use or to be rented out, your choice of location will vary accordingly. For instance, when buying a home that you intend to occupy, the criteria you will consider in terms of location would be very different from the ones in case of renting out the place.
Budgetary constraints have a large role to play when trying to decide between location options. Property rates vary across locations, the most affordable usually being the farthest from the heart of the city. Home rates also vary based on the builder. Very well-known builders charge a premium rate for their projects while relatively new builders charge rates that fall in the lower end of the spectrum.
Assuming that the house you are buying is meant to be occupied by you, the level of connectivity you desire could help you zero in on a location. What proximity do you want to the city? What distance from your workplace is ideal? How far away are the schools if you are a parent?
4. Social infrastructure:
Social amenities such as schools, hospitals, ATMs, departmental stores and so on are basic necessities that any individual looks for when buying a home. The more developed a particular location is, the more the density of the abovementioned amenities. The same will drive up the home rates in those areas.
5. Physical infrastructure:
Connectivity is a big must for urban dwellers. Road and rail connectivity within the city to other areas is highly desired. The project that you are considered may or may not be located in an area that isn’t well-connected or easily accessible. It is advisable to take the same into consideration when choosing a location.
Low cost housing options usually are a fair distance away from city centres. In such cases, you also need to ensure if the locality is safe to reside in. Ensuring that there are accessible police stations and adequate security personnel in the project is well worth the effort. Also, attempt to enquire about the crime rates in the particular locality.
At times, finding the right area to purchase a home in can seem like a daunting task with all the multiple things to consider. But as long as one takes a logical, methodical, clear approach to the purchase, there’s no reason why owning a home shouldn’t be a rewarding experience.