Proximity to amenities is of little help achieving higher capital growth. Investors think they need to avoid main roads and buy close to schools, shops, transport nodes, etc. But historical research shows there’s no real benefit, except in one case – when the amenity is new.
If an amenity has been around for years, the benefit has already been factored into prices. Only if the amenity is new would there be a change to the perceived value of property nearby from buyers and renters. Then prices might grow faster for a while until the new amenity is once again factored into prices.
Amenities don’t have the big impact on growth most investors assume as this chart shows.
The original article titled, “Schools, shops, transport, etc. are over-rated” covers a lot more detail. It’s in the Expert Busting series on the Select Residential Property website. Features analysed include: train stations, beaches, schools, shopping centres, airports and walkscore.
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This topic was modified 3 years, 2 months ago by Benny. Reason: Remove link
Jeremy Sheppard
https://selectresidentialproperty.com.au/-
This topic was modified 3 years, 2 months ago by
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