Real Estate Market: When does a property increase in value?
It is well known that a property located in a central area or with significant outdoor features, such as terraces, large balconies, and gardens, enjoys a considerably higher value than others with smaller dimensions located in the periphery and far from city services.
On the other hand, as we have already seen, location and brightness are considered top priorities for Italians when evaluating a home purchase.
However, not all buyers are prospective families looking for accommodation; many are investors seeking the deal of the moment, acquiring properties for redevelopment and intervention, with the aim of reselling them at a higher price.
What are, then, under equal conditions, the intrinsic characteristics of a property that automatically give it a higher value?
Green House
We live in a very particular era where attention to the environment is at an all-time high, not only for ethical reasons but also for long-term savings. The effectiveness of a wood-burning stove or solar panels capable of making a house “independent” from external utility networks proves to be a positive investment on all fronts, benefiting both sellers and buyers.
Thermal insulation, for example, provides a valid solution to isolate walls from the cold of the coldest winters, allowing for heating cost savings, which translates into a clean contribution to the family budget.
These strategies increase the “unique” value of the property because, despite incentives, very few homes can boast a green approach; it is better to take advantage of it!
Internal and External Spaces
Intervening according to regulations to review internal and external spaces is an excellent idea to reevaluate a property, mainly for two reasons:
- Restore the most lived-in environments.
- Follow current trends.
In fact, the most lived-in or passage areas are also the most at risk: stains on the walls, scuffed corners, chipped tiles, and damaged fixtures are just a few of the small unforeseen events that may require intervention. At that point, it is worthwhile to do so by following new trends and taking advantage of new discoveries in the field of construction and technology. For example, many houses today feature large windows that “breathe” even the narrowest rooms. Homeowners with balconies, gardens, and terraces often install customized fixtures that directly connect the interiors with the exteriors, providing ample brightness and, in some cases, breathtaking panoramic views.
It is also worth noting the possibility, introduced by the 2018 Budget Law, of taking advantage of a Green Bonus to obtain a deduction of up to 36% of the expenses incurred (up to a maximum of 5000 euros) for radically renewing green areas, pertinences, fences, irrigation systems, or creating wells, green roofs, and rooftop gardens.
In conclusion, renovating and redesigning spaces to align with current housing trends can truly make a difference in a real estate transaction. Those familiar with the market and customer preferences are increasingly moving in this direction.