Location or Size: What Is More Important For A Homebuyer?
The location vs. size debate is one that most homebuyers are confronted with. This is a valid concern that should ideally be addressed on a case-to-case basis. However, there are certain overarching guidelines that can help you pick between a large house in a not-so-great location and a small or mid-sized home in a great location.
The following are some of the factors to take into consideration:
1. Carefully assess your requirements: Whether or not you decide to buy a large house should be based on your requirements in the present day. Do you have a large family or if you’re planning one soon, then a bigger house should be the preferred option.
2. Determine the resale value: A home that is well located is likely to appreciate faster and better than a large home that does not offer good connectivity in and around town. However, a spacious home with world-class amenities will also have a good resale value.
3. Evaluate the ROI: A bigger home is better suited for one’s own living purposes, as it is a little more difficult to find tenants for a large home (especially if it is not in a sought-after location) than it is for a smaller home in a well-connected part of town. If you are looking for rental income or better ROI, go for the better location regardless of size.
4. Consider an upgrade: In some cases, you could consider rearranging, remodelling or renovating a home to suit your changing needs and preferences, but there’s little that you can do about the location. If the location offers quick and easy access to your workplace, schools and hospitals, shopping malls, public transit systems, etc., then without a doubt, pick the home with a better location.
If you are investing in a home for purely financial reasons, go for the better location. For residential purposes, it may be a better idea to go for a spacious home. However, a great location and a sizeable home is the most winning combination!