This article is written in view of those into buying and selling of property. Sometimes, you may find yourself at a crossroad whether to buy a house or land to resell later and make your gains.
WHY THE VALUE OF A BUILDING MIGHT DROP
1. The building may be built with substandard material and this will affect the price of the property.
2. Buildings require constant maintenance to be in good shape, otherwise it wears out
3. Modern designs of buildings, artwork, etc. enters the market regularly, thereby rendering the existing one obsolete. This too, affects the price of the property
4. When erosion eventually settles in that area, the perceived value of the building drops
5. The house or building may not suite the taste of the buyer, hence the price is dragged down.
In view of the foregoing, buildings do not appreciate fast because of the factors above. On the other hand, lands do not have such issues except factor number four considered above, although this may not necessarily affect the price of the land especially if it in ideal location.
THE BOTTOM LINE
A building hardly doubles its real value but a land does. Therefore, it is absolutely necessary to think deeply before taking a plunge into investment. Did you enjoy this article? Please, drop your comment below. Call +2347031384722 or visit www.facebook.com/propertytycoons to view listed properties for sale.
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