Benefits of investing in the real edge of the city
Currently, investors are often interested and focused on investing in real estate in the center of the city. However, besides that, the suburban edge of the city is the place that accounts for a high proportion. DVH Group realizes that investing in real estate in the suburbs of the city will be the right choice,…
Details content
Currently, investors are often interested and focused on investing in real estate in the center of the city. However, besides that, the suburban edge of the city is the place that accounts for a high proportion. DVH Group realizes that investing in real estate in the suburbs of the city will be the right choice, and in the long run. Because this is the most developed area today.
Benefits of investing in the real edge of the city
About infrastructure
Land in the periphery usually will have less developed infrastructure than the city center. However, when invested in projects, the price of real estate in the suburbs will increase.
Planning locations
When expanding planning, as well as building factories and enterprises. Most often invested in locations in the suburbs edge of the city. At this time, prices in the real estate market will increase.
Population density
Locations that are far from the center often have low population densities. The future population density in the periphery edge of the city will tend to increase. From there, led to an increase in housing demand and leading to an increase in real estate prices.
The suburban real estate market is in its infancy. Besides, the brokerage rate is much lower than the center. Due to the lack of information. Undeveloped market. So if you can establish a good relationship with the broker, stick to the market well,… You can buy the land with very high profit.
Soil type conversion
If investing in agricultural land, then when planning changes to residential. That means the value of real estate will increase a lot. Meanwhile, the vast majority of central land is residential, so it does not enjoy this price increase.
Real estate for resort
Due to the development of society, people’s living standards and incomes are also increasing day by day. Therefore, the greater the demand for owning resort real estate, the higher the opportunity to increase prices.
Value and risks of suburban real estate
In some cases, investors own real estate in central districts. But in terms of profit is often lower, compared to a person owning plots in the suburbs. Houses in the city center for rent are profitable, only about 2-3%/year. Real estate prices themselves are already very high. Meanwhile, oftentimes, agricultural land, or remote residential land, is not uncommon for cases to increase by 30%/year. Even higher.
To learn more about the benefits of suburban real estate. Contact reputable real estate agencies and experts. DVH Group always supports customers with a free consultation. However, investing in real estate in the periphery also has risks such as:
- If you buy according to the movement when the land price is rising very quickly. Without thorough research, it is easy to buy at high prices but wait a few years to make a profit.
- Investing in real estate far away is much more difficult. Check planning, dispute status. Due to unclear planning, it is possible that in the future the invested land will be planned for road construction, project construction… Leads to very low profitability.
- If the real estate freezes on a large scale. It is likely that the faraway land will decrease in price more than the central land.
Experience in real estate investment and development on edge of the city
Real estate in the suburbs is an attractive attraction for investors. From people with small to large accumulated capital. However, not everyone who participates in this market reaps the results. If not careful, the buyer risks losing both the lead and the fishing rod.
Currently, real estate is also considered a smart investment channel, to increase assets much faster than other types of investment. Accordingly, to limit the risks when investing in coastal land, there are 4 criteria that investors should clarify:
- The first is the legality of real estate, if you are not sure to appraise, you should only buy real estate with a red book.
- Second is the liquidity of real estate, is it easy to sell or not? Factors affecting the sale value of real estate such as proximity to the center, population density, the ability to exploit and use immediately…
- Third, it is necessary to grasp the planning information of that area because the periphery often adjusts and changes the planning.
- The fourth is about investment finance, usually, when investing in coastal land, you should have a medium and long-term vision.
DVH Group – Professional real estate consulting support unit
If you want to invest in coastal land without experience, you can learn and choose for yourself a reputable consulting unit. This is a very important step before investing in real estate for any investor. A fairly reliable suggestion is DVH Group – One of the prestigious and professional real estate investment groups. With a team of well-trained experts, the experts of DVH Group will bring you valuable knowledge and investment. DVH Group – An investor with vision and vision, reliable to entrust trust.
VIE