How Do Estate Agents Determine Property Prices?
The value of property prices in Hyderabad largely depends on various variables of the market like a country’s economy. Economy being one of the highest-ranking variables, in a healthy market where the supply and the demand is well-balanced, to determine the price of any property or land rates in Hyderabad is like running a hot knife through a slab of butter; this is because in a healthy market the economy is largely balanced too! Only when the market is lop-sided or misaligned, determining the real value of a property becomes a challenge. The misalignment can be a reason of low inventory and high buyer interest rates or in case of high foreclosures.
Real estate agents determine the property prices in Hyderabad or the land prices in Hyderabad based on a few variables. Here’s a list you can refer to.
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Location: The price of any property or land value in Hyderabad is usually higher in developed areas of the location as opposed to the less developed or developing areas.
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Amenities: In a world where leisure plays such an important role, a property with all ultra-modern amenities cost far more than a property with less or none. Obvious, isn’t it?
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Infrastructure: Connectivity, malls, airport proximity, roads and more contribute greatly to the price of property. When a property has all of these boxes checked, the prices are higher than usual.
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Commercial Real Estate: The development of IT parks, malls, and special economic zones near residential areas make commuting easier and faster thus giving the property price a rise.
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Disposal Income: Higher the disposal income, more the value of the land or the property in the area.
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Availability Of Land: The price of property is higher in a place where there is land scarcity as opposed to where land availability is high.
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Demand & Supply: In case of real estate, the demand and supply are inversely proportional meaning, in a place where the supply is low, the price of the property is high because of high demand.
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Affordability: Affordability is the cost that a buyer would want to pay to buy the property. This largely depends on interest rates, property prices and wages. When all 3 of these hit a high, a buyer starts to explore a better lifestyle.
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Structure: Materials used, layout, design, durability and life cycle of the building largely impact the price of a property.
Like any other product in the market, Real Estate prices also get influenced by factors such as the aforementioned. Thus, any investor or buyer must conduct a proper survey of the property desired considering the factors that may affect the prices before sealing the deal.
Disclaimer: The information provided above is for informational purposes only. https://propertyadviser.in does not guarantee the accuracy, completeness, or reliability of property.
