6 Amenities to Live Near That Affect Your Home Value
Your home is your sanctuary, but it is also the place where a large chunk of your money is invested. Therefore it is important to consider the surrounding elements that contribute to driving up (or down) the value of your home. Property prices in Malaysia tend to appreciate steadily each year. However, certain accompaniments that are found in close proximity to a neighborhood can positively affect the value of a home.
Transit amenities are probably the most well-known value-boosters for home prices. Here in Malaysia, the most notable would be the LRT and KTM train systems. Bus terminals do not carry as much weight due to the fact it is not typically the transport of choice.
On the other hand, home values generally appreciate slowly or even marginally in areas where public transport, and even taxi services, are not readily available; not even e-hailing services are offered there.
Universities and Colleges
Homes that are located near universities and colleges are often in high demand. Such areas tend to have numerous appealing amenities that assist in ensuring stable property value.
Furthermore, the large population of long-term students and lecturers equates to prospective tenants for the foreseeable future. This makes rental property near a university a sound investment.
In the Journal of Surveying, Construction and Property, Saw and Hong (2014) claimed that Malaysians listed retail centers (malls, hypermarkets, supermarkets and convenience stores) as a top priority for location factors when investing in a home. In city areas with more than one shopping mall and hypermarket, home prices were observed to increase in value by 14% in one year. While these stats are rather optimistic and will not necessarily occur in all developments, it indicates that growth in housing value is closely related to such lifestyle attractions.
That is why residents of Seri Pajam Development are at a great advantage of strategic location given its easy access to great amenities such as hypermarkets like Giant, Tesco, AEON Nilai and exciting shopping malls like IOI City Mall and Mitsui Outlet.
Slight bumps in home prices are seen with developments that employ tactical naming with words like "lake view", "lakeside" and "hill park" - even if some of these places don't actually provide lakes or parks that are visually apparent from the residence.
Similarly, condos that boast impressive skylines and city views which overlook monuments like the KL Tower or Petronas Twin Towers are heavy hitters that increase value but are rather expensive to purchase into at the onset.
Commercial properties have a positive effect on the rental value of residential areas within its vicinity. This could be attributed to young single employees who place importance on proximity to the workplace, as well as the flexibility to move with the job.
Moreover, modern commercial centers also house both moderate and upscale restaurants that cater to the working crowd and residents of the surrounding areas. Such eateries increase the attractiveness of some neighborhoods and townships, thereby contributing to better value.
Parks & Playgrounds
Homes that directly face a playground or sit close to well-landscaped public parks also enjoy a positive increase in value. Parks and playgrounds have an aesthetical and communal appeal that attracts home buyers with growing families.
Most Malaysian buyers occupy the homes that they own. So logically speaking, properties with features that contribute to the ease of daily living can and will have greater demand.
But although the home value can increase significantly with the accompaniment of efficient public transport and convenience stores, it still may be difficult to predict at times. Also, buying into homes that already offer such complete amenities is bound to be expensive.
The best solution would be to look for a house that you can afford, coupled with at least one or two (or as many) of the amenities mentioned - to give your property the most optimistic potential for growth and value. Looking to buy a house? Do check out our website to find out the best rates and packages to support your vibrant living.