Why Location Matters When You Buy Your Next Home

By Krayton Davis

You probably have heard this question before: what are the three most important things when it comes to buying a home? Realtors will almost always give you their stock answer: location, location, location. If your home is in the right location, then you’ll find almost everything else about the neighborhood to be just fine. On the other hand, a bad location can come back to haunt you in the form of crime, reduced home values, schools, long commuting time to work, and more.

Let’s take a look at several factors that should weigh in when you select your next home.

Take a Walk Around the Neighborhood

The home that interests you could be structurally sound and situated on a quiet street filled with well kept homes. At first glance, it looks as if you are in an ideal location. However, by taking tours of the neighborhood at different times of the day and week (preferably on foot to get a true feel for the area) is the best way to determine what a neighborhood is really like.

Some things to be on the look out for include:

• Are the homes on the surrounding blocks as well kept as the homes in your area? Signs of deterioration nearby could signal that your neighborhood may soon experience the same problems. You'll also want to check the appraised values of nearby homes to determine whether the home you are interested in compares favorably.
  
• What is the town's zoning for the area? A mixed use of residential and commercial properties doesn't have to be a show stopper, but if the town has plans to allow a nearby factory to replace an office building, do you want to have a factory for a neighbor? Apartments, trailers, and other forms of rental properties nearby could mean that the neighborhood is more transient than you like.
• The line of forested lots backing up to the neighborhood is certainly serene and enjoyable. You will want to find out who owns the land or that park-like setting could eventually fall to the developer's bulldozer. Be on the look out for power lines, gas lines, and other right-of-way areas.
  
• Eminent domain is a concern for many homeowners today. This is where the town can condemn entire neighborhoods to make "improvements" by welcoming other forms of housing or businesses. A recent U.S. Supreme Court ruling has made it easier for towns to take action that could drastically change any neighborhood. Fortunately, some states have stepped in to strengthen homeowner rights in a bid to limit this practice; you may want to familiarize yourself with state law to understand your rights as a homeowner.

Public Schools, Local Services, and Commuting Time to Work
The quality of life in any community is often measured by three factors: public schools, local services, and commuting time to work. Besides your home’s condition, size, and neighborhood, property values can vary dramatically from one town to the next.

Some things to be on the look out for include:

• Whether you have children or not, the quality of the local public schools will have a significant impact on house values and taxes. If the schools are rated above average than your housing values will be reflected accordingly. An older or expanding school system means that the district will have to increase taxes in order to accommodate renovations or expansion. Paying higher school taxes may be necessary in order to maintain home values.

• Local services provided by the municipality can vary from town to town. Incorporated areas offer the most services with correspondingly higher municipal taxes. If your home is outside of city limits who pays for garbage renewal, recycling, water, and emergency services? What about libraries, community centers, and parks? Lower property taxes could quickly be offset by higher out of pocket fees for uncovered, but desired services.

• Commuting time to work is especially important as gas prices continue to rise. Homes nearest to major areas of employment will usually command a higher value than homes where a longer commute is necessary.

Finally, before buying your next home get a copy of the neighborhood’s crime report from the police department, learn the flight patterns for the closest airport, and take a look at a local map to find out just how far away shopping, hospitals, and government services are from your home.

The more time you spend on researching the neighborhood, the better equipped you will be to select the right home at the right price in the right neighborhood: location, location, location!
Krayton M Davis is the Executive Principal of nBuy Associates, which owns and operates the Home Buying Center. For more information about our services, link to:
http://www.SayHomeBuy.com

More Information is available at our Home Buying Center:

view home location section and tips

start your home search through our nationwide reference center