When buying land as a recreational property, future investment or to build a home on, it’s imperative to consider its future and present market value first. Being cognizant of the land’s market value helps you determine whether the property is worth the money you want to part with. However, land price depends on certain factors as explained below.
What borders the piece of land can hike or lower its market value. A land with attractive slopes and beautiful views of mountains, forest and rivers will have a high market value even if these natural scenes are not part of it. Contrary, a property that’s just next to an industrial park, busy freeway or landfill may have a lower market price. Those who want to build residential houses on it may not find it desirable.
A property with exhausted soil will have a lower market price compared to a fertile agricultural land. Most people may be willing to expensively buy a property with a healthy forest than that with clear-cut forest. Not many people will spend much money buying industrial wasteland or brownfields especially if they are not in pleasing urban centres. The market price of a land with unusual aesthetic or superior appeal will be higher than that of lots without enticing features.
Most people will be willing to buy a land with particular well-maintained structures more expensively depending on the condition and use of those structures. Conversely, a land with dilapidated structures will have significantly reduced value. This occurs because old and dilapidated structures pose environmental or safety issues through old oil tanks or asbestos.
The price of land increases with the proximity of the property to popular centres and important amenities. A land in a densely populated location is on high demand that eventually increases land-buying competition. Many people may change their mind about buying a particular land once they learn it’s located in a sparsely populated area.
Ashbury Armstrong Creek says that although the size of a land for sale in Waurn Ponds can determine its value, the above aspects play a critical role in value assessment.
Though a property may have admirable vegetation, its location, condition, surroundings and structures dictate its market value.