5 Factors That Help A Neighborhood Retain Value

Your goal as a property investor is to make money. Obviously. When you sell your property you want to make sure that you get a good enough return, even if the housing market is in a collapse. Purchasing into a neighborhood with steady property prices increases the chances that your investment will retain or increase its worth. This is why, when searching for a property to invest in, picking the right neighborhood is essential.

You would want to look at neighborhoods with good current value, and potential to appreciate over time. This is vital because it helps you plan well, especially if you would want to hold onto a property for years. Read on to see five factors that will help a neighborhood maintain value:

#1. Job opportunities

it has been proven that neighborhoods in areas with a lot of high paying jobs, tend to retain their value over time. Not only do jobs have to be available, the people of the area have to be able to reach these jobs for the neighborhood to maintain its worth. One factor that has been observed to have a high correlation with the presence of high-income jobs is a high level of education.

The higher the level of education, the better. A college degree is desirable. A high school degree is a must. A neighborhood that has a high percentage of people with a degree from a graduate school would likely be a smart investment location.

#2. Good school systems

Do not overlook the importance of good schools, even if your children are grown or you don’t have have any. A community that has a reliable, school system increases it’s chances of maintain its real estate value over time.

#3. Amenities

A neighborhood with a lot of amenities such as public transport, parks and day care centers, is likely to have a lot of demand and is thus, more likely to maintain or increase in value.

#4. Stable Home Prices

A neighborhood with steady home prices would be that way for a reason. It is sometimes a mix of a number of factors, such as high income, amenities, good schools and an efficient local government.

#5. Low crime rate

People want to feel safe and comfortable in their homes. They want to be able to walk down the streets alone at night, with their children playing outside safely, and as such, neighborhoods with below average crime statistics will likely retain or increase their value.


Time limit is exhausted. Please reload CAPTCHA.