Now a day’s land is becoming the important asset and investment in land is known to be profitable which insures the better appreciation and also offers the higher long term returns for investors. It is absolutely true if it is compared to residential properties. The value of any property depends upon many factors like structural attributes and location, and its rates are also gets influenced by it. It is essential to understand the major factors that influence the prices of the land. These are as follows:
I must tell you that location is the most important factor which determines the prices of land. Development takes place the area affects the price of the property. Road connectivity, upcoming highways, population centers, factories, industries all leads to a higher appreciation of a plot. Also in this if the land is surrounded with greenery than automatic the valuation of the property is on higher price.
What do you mean by topography?
Topography is the study of the shape and features of the surface.
The soil quality, climate, presence of ground water helps to raise the price of the property. The fertility of the land will be more beneficial for the property price, and vice versa.
Demand for land
In simple terms, property prices in prime locations of any city are higher than those who areas which are not such counted as prime and are not equipped with all the facilities. Industrial development in a location, too, has a direct implication on the rates of property. Plots located in an area with extensive facilities all around respond to higher prices.
Floor Space Index (FSI)
The floor space index or you can say floor area ratio is one of the crucial factor that influence price. FSI depend upon the factor like plot size and width of the road. It tells that how much area can be used for the construction, more the area of the plot/FAR the higher the value property has.
Present and Future land use
Present construction from the local authorities and from the government will affect the property of the rate increases.