| No kidding! It shows that I'm a bachelor. | | | | unless one buys the entire subsection of the city. |
| Most people buy residential real estate based purely | | | | This is the reason why one should buy the worst |
| on emotion, without ever really thinking rationally | | | | house on the best street, and not the other way |
| about why they are doing what they are doing. For | | | | around. |
| example, I have a friend who lives in a suburban | | | | In every city and town there are invariably |
| community distant three hours by car from | | | | neighbourhoods or areas that are 'in demand', and |
| Downtown Vancouver, where I live. As my pal also | | | | they are in demand for a reason - either they sit on |
| works in Downtown, he has to travel six hours each | | | | a lake or river frontage, command views of the city |
| and every day of the working week - that's 30 | | | | skyline, of a ravine or the ocean, or have peaceful, |
| hours per week just to come here to earn a living | | | | leafy streets. Some areas are close to schools or |
| and go back home. That's an awful lot of driving. | | | | public transportation routes, or are unique in terms of |
| When I asked why he bought his home so far away, | | | | topography, history or population variety. So the |
| his answer was simple: that's where his mother-in-law | | | | savvy Buyer will try to get into these areas |
| lives, and the wife wanted to be close to her. | | | | whenever he can, and then will sleep well knowing |
| The trouble is, in that location the home is a tough | | | | that he has taken care already of the resale value of |
| sell and will appreciate in value slowly, if at all. Heck, | | | | the home he has just finished purchasing. |
| I'm not even sure it's Canada .... Meanwhile, six hours | | | | When shopping for a home, it is always best to avoid |
| a day on the road is enough to eat up a normal car | | | | houses that sit near major traffic thoroughfares |
| every three years and run up a mountain of gas and | | | | because of reduced privacy and more traffic; or |
| maintenance bills. That real estate decision may make | | | | houses sited next to schools or retail stores, as they |
| the wife happy, but it is hardly logical. The point is | | | | will always sell at a discount compared with the ones |
| that when you are dealing with the single most | | | | in the middle of a quiet residential block. And forget |
| expensive asset of your life (your house, that is ... | | | | about buying anything that is near a police, ambulance |
| not your wife), representing the bulk of most | | | | or fire station, or a hospital or factory. Furthermore, |
| people's net worth, then emotion has to be relegated | | | | it pays to avoid neighbourhoods that are in transition, |
| to the back seat. | | | | since tree-filled areas will always and invariably be |
| The most valuable feature of real estate, by far, is | | | | worth more than new, suburban streets with twigs |
| where it is located. The old adage of 'location, | | | | planted along the boulevards. |
| location, location' as being the three cardinal rules of | | | | But since what one buys will always reflect what one |
| housing is true today as it has ever been. Real estate | | | | spends at any given time, to buy the worst house |
| is, afterall, an unmovable commodity and it is worth | | | | on the best street is the sure way to maximize |
| what it is worth mainly because of where it is at. | | | | capital gains at the time of resale, simply by fixing it |
| Therefore, location is the very first thing to take | | | | up a little. It sure pays to live where everybody |
| note of, not the condition of the structure that sits | | | | wants to live and make a little money in the process. |
| on that apron of land. In ultimate analysis, whatever | | | | And if you get dumped by your loved one in the |
| may be wrong with the house can always be fixed, | | | | meanwhile, look at it on the bright side - you can also |
| rebuilt, repaired, restored or replaced. However, a | | | | enjoy your new neighbourhood in peace and |
| bad or questionable location can never be changed - | | | | tranquility. |