Location remains top consideration - realtors agree: It’s the key factor in determining value

 

Part 1 of 2 series

 

HONOLULU ADVERTISER September 18, 2005

BY LISA SCONTRAS

Custom Publishing Group

 

You can remodel the kitchen, add on a bedroom, knock down a wall and change almost anything about a house with some tools or a paint brush ... everything, that is, but the location.

 

Which is why veteran real estate professionals, rather than getting caught up in talk and speculation of bubbles, would prefer to remind folks of the basic rule of real estate — location, location, location.

 

“Location is number one, two and three on the list,” says Realtor Corinda Wong, of Prudential Locations. “When determining value in real estate, location is the single greatest factor. It’s what drives the price. Are you on the beach or are you just off the beach?

 

“And even the word ‘oceanfront’ can mean different things depending on the location of the neighborhood,” she explains. “Oceanfront might be affordable in Maili but may not be in Kahala.”

It’s all about location.

 

Fellow Prudential Locations agent Mary Robb emphasizes the importance of location with this example: “You can have a mediocre home on the beach that will have a higher value than a great home on the same street off the beach.”

 

 

She explains that you can fix up the mediocre house but you can’t pick up and move the nice one. She adds that location not only affects the price but also the desirability of a home.

 

Artie Wilson, 25-year veteran in the real estate business, goes on to say that where the home is located is the key factor in affecting a home’s value — both now and in the future.

 

“I’m always looking for the best location and the best neighborhood for my clients. They might be more interested in the house or the floorplan, but from an investment standpoint, my job is to put them in the best location,” he says. “My mindset is I want to put them into a neighborhood so that when they’re ready to sell it, I know they can resell it and it will likely end up being a good investment for them.”

 

According to Wong, location can be positive or negative. “You could be located next to a prison or a highway, she notes”

 

Consequently, location can have a negative effect on price.

 

There is an added benefit of owning in a good location, according to Robb.

 

“At some point when prices adjust, the places in the best locations will tend to adjust the least.”

 

“That’s why we’re Prudential Locations,” says Wong. “We added the word locations to our company name because that is the number-one thing people want.”

 

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