The old adage that “there is a buyer for every property” is true, but this naturally relates to price. To determine overall market worth, consideration ought to be given to both the land and dwelling components of the property.
Establishing the market worth of land can be a more straightforward process than working out the value of a building whereby considerations around depreciation become a factor.
When estimating the value of a building itself, the property’s features, build quality, size, floorplan and external features all impact on establishing its value. There are a number of features in a property typically desirable in the Perth housing market.
The number of bedrooms remains a key factor in forming a buyer’s decision. Over the last 50 years the number of bedrooms in the typical home has doubled from two to four, yet the average household size has decreased with many homes today occupied by only one or two adults without children.
Regardless of our shrinking household size, the desire for larger homes remains strong and the market often disproportionately values four bedroom homes and three bedroom apartments. Extra bedrooms offer flexible lifestyle options and buyers are aware of re-sale appeal.
When it comes to buyer interest, the number of bathrooms ranks as the second most important feature. The market greatly values a second bathroom or ensuite.
Storage is an underrated influence on the value of a home. We are living in smaller households but accumulating more possessions. Homes with plenty of storage space are likely to be more highly valued.
The common ‘games room’ of the last two decades has given way to home theatre. Large flat screen TV’s with surround sound units and comfy chairs demand their own space. Increasingly, this is becoming a central feature of the modern home.
Suitable car accommodation is important, but doesn’t rate as highly as living areas. The value of a lockable double garage with internal access to the home varies in different locations.
In older suburbs where room for expansion around the home is limited it might be viewed as dispensable, but in newer areas a large garage is now a standard feature.
Our climate is ideal for covered areas that open to the yard and perhaps overlook a pool. A quality, functional and protected space in the yard which expands the living area of the house and merges the garden with the home are also highly desirable.
Author: REIWA President Hayden Groves