The neighborhood a rental belongs in is one factor that landlords and tenants look at when they consider investing or renting, respectively. In a broader perspective, they would generally look at which state or city, but the neighborhood itself is the final decision in terms of location. It vastly affects the value of the home, the quality of living, and the value for one’s money.

Generally, you can tell if a neighborhood is a valuable long-term investment if it has immense growth potential, has access to establishments that provide basic needs, and a community of respectable homeowners and renters. For landlords, it should also be a place where tenants would see themselves live for a long time, renewing their lease and providing a steady cash flow for the landlord.

As a rental agent, it is good to know what landlords and tenants consider a neighborhood for the long term. It will help you find the best properties to market and how to market them.

Upward Trend of Historical Prices

Gather data on the real estate prices in the past years. Have the selling prices gone up? Is the rental rate steadily increasing? Do rental properties have a high occupancy rate? If yes, then that is a good sign of growth. Although rising value is not a sure indicator of a high-quality neighborhood, combining it with other factors can help build a clearer idea of its value.

If more and more people flock toward the neighborhood to purchase or rent properties, it is also a good sign that the place is gaining public interest.

Current and Future Work Opportunities

Work is essential for one’s survival. Generally speaking, renters tend to gravitate towards neighborhoods that offer a wide variety of job opportunities.

The presence of prominent employers and Fortune 500 companies is a clear sign that the job market thrives in the area. If some neighborhoods only have a few companies building offices in the area but have easy travel access to locales with a rich corporate landscape, that is still an attractive place to live. Some people prefer that their homes are slightly far from busy areas.

History and Culture

Neighborhoods with a rich cultural heritage and history also attract people. For example, if the general lifestyle of the people in the area is pretty modern and creative, most people that share the same lifestyle would prefer to live there. It’s easier to find tenants if you know which specific market to attract.

Emerging Retailers

Owners of food establishments, shopping centers, and famous retail brands are always eager to set up shop in growing neighborhoods. Before a business decides to operate in an area, they conduct their studies on the market first. They wouldn’t set up shop in places where they will not earn. So if the neighborhood continuously attracts businesses to operate, it is a positive indication of the area’s growing economy.

Crime Rates

Safety is also a vital criterion in determining a neighborhood’s quality. When crime rates are low or have been decreasing over time, it means that the community is becoming safer as time passes.

School Districts

Small families want to start building their lives where their children can grow up in a healthy environment. That includes having access to a proper education. If schools in the area can provide the quality of education that parents want for their children, then they will be willing to stay for the long run.

Neighboring Neighborhoods

A neighborhood often stays stagnant when isolated. If there are other generally good neighborhoods nearby, there will be an easy flow of trade and commerce between communities. That will strengthen the growth of the economy and quality of life.

Resident Satisfaction

The satisfaction rate may be difficult to quantify, but by merely putting the effort to talk to residents, one can get a glimpse of whether a neighborhood is a great place to live in. If most residents live in the area for long periods, it is a strong indicator that they are satisfied with the way of life in the area.

Rental properties in pleasant neighborhoods are easier to market. If you are trying to find tenants for such properties, it’s good to know what features to highlight when publishing a listing on Padleads. Focus not only on the property itself. You could attract more potential tenants if you show them all the benefits the neighborhood has to offer.