Would you like to know the key factors that can make your property appreciate in Abuja? We are here for you.
Abuja is one of the best locations for real estate in Nigeria. The city is renowned for having not only one of the best-built roads but also one of the cities with the best road networks in the country. Abuja is the Nigeria’s political seat of power. Therefore, it is highly secure and has the presence of both local and foreign government organizations and ministries.
These factors, among others, make Abuja a prime destination for profitable real estate ventures. In this article, we will discuss the seven factors that can make your property appreciate in Abuja. In the end, you will better understand the real estate landscape of Nigeria’s federal capital territory.
1. Property Location
In Abuja, the location of your property is one of the factors that will determine the extent to which it will appreciate.
Abuja is a big and beautiful city that many people dream of visiting one day. Having the opportunity to own a property here is a big plus. Nonetheless, the value of properties varies by location. Our estate, Kyami Pavilion is the best you can think of right now in terms of appreciation.
Many people consider the city expensive, but the fact is that there are many affordable areas in Abuja. Although they may be more expensive than what is obtainable for the same price in other cities, Abuja is a great place to live. Apart from the house you stay in, Abuja offers other benefits.
Therefore, if you are buying land to develop and sell or an already built property that you plan to resell for profit in a few weeks or months, you must pay attention to the location.
Areas such as Gwarinpa, Wuse, Garki, Asokoro, etc. are more expensive compared to Kuje, Karu, Lugbe, Zuba, etc. Therefore, if you have properties or are about to buy one in places like Zuba and Karu, you should know that the value of the properties will slowly appreciate, unlike properties in the central areas of Abuja, such as Wuse and Asokoro.
So, when buying a property, your expectations should tally with the location.
Also Read:
- What are the Fastest Developing Areas for Real Estate Investment in Abuja
- How to Invest in the Real Estate Sector in Nigeria as a Foreigner
- 5 Latest Developments in Abuja That Will Skyrocket the Value of Real Estate
2. Infrastructure Development
The location’s infrastructural development is another factor that influences property appreciation in Abuja. These infrastructures could be roads; therefore, properties in the areas with more well-built roads and networks will appreciate faster than areas with less well-built road networks.
Also, the housing developments in the location are also an example of the infrastructural development that can impact the appreciation of property value in Abuja.
Therefore, when expecting a faster return from your real estate investment, factor in the speed of development in the location. The more people invest in a location, the faster it develops, and the value increases.
3. Population Growth
People drive development; therefore, the more the population of a place grows, it is expected to develop. Places with little to no population of people do not get developed because there is nothing to drive the development.
The population growth of a place is a big factor that contributes significantly to the value outcome of a property investment in Abuja. Areas with an increasing population do not only attract individuals and private companies to invest; it also attracts the government to provide the necessary infrastructure that will aid more growth.
The government will be left with no option but to invest in the location because the higher the population of a place, the more money the government can generate through taxes.
Always consider the potential population growth of a location before buying a property. Before investing in any Abuja area, estimate the profit margin and time to achieve it.
4. Availability of Amenities
Places that have or are close to amenities such as markets, hospitals, religious worship centers, and transportation stations will experience a higher inflow of people. Ordinarily, this will increase the value of the properties in the area.
The fact is that people do not want to stay where they will struggle for everything. Regardless of the financial capacity of a person, they want a place where they can have access to the most basic amenities. For instance, they would not want to travel miles to access a hospital or a religious worship center.
Therefore, while buying your property, ensure that at least the basic amenities are available. Alternatively, ensure that the residents can easily access them. If you are investing in an undeveloped area, also consider how long it would take to get basic amenities. If there is no clear plan to provide them soonest, it won’t be a wise idea to invest in that location. The only exception will be if you want to secure it for land banking.
5. Property Size, Style, and Age
Properties built in the 1960s will have less value than those built this year or a few years ago. The same thing happens if the property is large. The value will appreciate faster compared to a property of the same style, built in the same period but smaller in size.
Most people who want to buy properties desire the ones that can adequately accommodate their families or businesses. What does that tell you? Very simple! Size is a determining factor.
6. Property Features
The property’s features affect its value appreciation. For instance, a smart and automated property in the same neighborhood with an unautomated property of the same style, size, and age will be valued more than the latter.
If you are building a house for residential purposes, for example, the more features, such as a furnished kitchen, a private water source, a solar system, etc., that you add to the house, the more the value increases.
When assessing the growth potential of a property in Nigeria and how fast it will appreciate, the features are among the factors you must consider.
7. Economic and Political Situations
The economic and political situations in Nigeria greatly affect the value of properties in Abuja.
Abuja is the capital city and political seat of power. The state of the country’s economy can either increase or decrease the value of a property. When the economy is strong, the properties increase in value. This reflects the basic economies. The basic economies state that price or value increases when the demand is higher than the supply. This principle hinges on the fact that more people are willing to buy the properties.
Also, political situations affect property value. For instance, if there is an election in view, especially national elections such as the presidency, senate, or representative, the value of properties is affected. Abuja houses many politicians, and many of them are willing to sell their properties to finance their political ambitions.
When you want to estimate the value of a property and how fast it will appreciate, the last factors to consider are the economic and political situation in Nigeria.
Also Read:
- How Safe is Abuja for Real Estate Investment
- 20 Real Estate Terms and Explanations You Should Know in Nigeria
- Different Land Zoning Plans (Land Use) in Abuja for Real Estate Development
Conclusion
There you have the seven factors that can make your property appreciate in Abuja. The factors discussed are property location, features, style, age, and size; population growth of the area; economic and political situations; infrastructural development; and availability of amenities.
Each of these factors impacts how a property appreciates in its own unique way. Therefore, it is important to factor in these factors when buying or selling a property in Abuja.
To invest in our Abuja real estate offer, Kyami Pavilion Estate or Westland Residence in Asaba, please, call +2348132794689 or send a WhatsApp message to +2348132794689.
