A neighborhood’s appeal is more than a selling point. Everything from its aesthetics to its proximity to community conveniences can impact local property values. Amenities within specific neighborhoods, such as walking trails and playgrounds, also add value. Furthermore, the curb appeal of nearby homes adds or detracts from the selling price of individual properties within a neighborhood.
Ideally, you want to buy and sell in a community’s most desirable areas. But what increases property values more within some parts of town versus others? HOAs may sometimes get a bad rap for enforcing what’s perceived as ridiculous rules, but they’re there to help appreciate property values so homeowners’ investments are protected.
Here are four ways HOA and community leaders can boost a neighborhood’s worth:
1. Community Parks
Homes next to playgrounds, walking trails, and dog parks tend to be more desirable. This appeal typically means buyers are more likely to pay a premium to move in. Parks with sturdy playground equipment for the kids can be adjacent to the neighborhood. But these amenities hold more value if they’re within the neighborhood itself.
Planned communities with walking trails along green belts, playgrounds, dog parks, grills, and gardens provide an inviting atmosphere. These amenities bring neighbors together, giving residents convenient access to outdoor recreation. They don’t have to travel outside the neighborhood to enjoy a higher quality of life.
Families with children, active pets, and fitness enthusiasts won’t want to spend every moment cooped up inside a house. While backyards provide some outdoor living space, it may not be enough. In denser neighborhoods, yards may be too small to install a jungle gym and let the dog run laps. HOAs can transform common areas into places that check off other boxes on residents’ wish lists. Homeowners may be willing to pay more for access to semi-private amenities.
2. Shopping Centers
Some homeowners don’t want to be too close to commercial activity. For instance, they don’t want their home on a lot next to the locals’ favorite fast-food joint. Still, they do want to be close enough to stores and retail outlets with the essentials. Grocery stores, banks, and restaurants are included in this “essential” category.
Commercial districts don’t necessarily have to cause traffic nightmares near a residential neighborhood, either. There are plenty of examples of well-planned communities where the shopping centers have a calmer vibe. You’ll find a few restaurants sprinkled in with doctors’ offices, vet clinics, and wine bars. Proximity to retail establishments with necessities like groceries is one of the factors behind a neighborhood’s value.
If residents have to travel too far to get what they need, it may reduce their quality of life. Nearby unique retail establishments can also increase the appeal to specific segments of buyers. HOA and community leaders may want to encourage controlled commercial development in neighborhoods to attract typical buyers. Keeping shopping centers contained within lots just outside the residential zones increases conveniences while cutting down on noise and traffic.
3. Trees
Ever wonder why some HOA bylaws require homeowners to have at least one tree in their front yards? Well, the answer is that trees can increase property values by as much as 15%. Trees naturally add to the curb appeal of a home, but they also provide shade.
The shade helps homeowners save on utility costs from increased air conditioning in the warmer months. Shade in yards is appealing because it gives you a spot to cool off outdoors. In addition, you get natural protection from the sun’s UV rays. If you have pets, they’ll appreciate a cooler spot to lay in the yard.
Of course, there are some caveats to planting trees. You don’t want them too close to a home’s foundation. This presents obvious problems and can reduce a property’s value. You also want trees to be well-maintained and compatible with local climate conditions. HOAs help control these factors by setting minimum standards for yard maintenance.
Often, these standards will at least match the city’s codes. However, HOA boards could consider raising the bar, ideally within reason. Maintaining mature trees and having some plant diversity within common areas also add to the neighborhood’s aesthetic appeal.
4. General Upkeep
Buyers can instantly see if a neighborhood is well-maintained. All it takes is a stroll down the sidewalks and a drive through a few of the streets. Manicured lawns and home exteriors in good condition increase desirability. So do sidewalks and roadways that don’t show blatant signs of neglect. Think crumbling concrete, large cracks, potholes, and bulging from tree roots.
Crowded street parking is another factor that may detract from a neighborhood’s value. Too many cars parked on the street, especially run-down cars, make some buyers think twice. This is why HOAs write bylaws governing parking rules. You may see parking restrictions for RVs, campers, and trailers. They also likely limit the number of vehicles per home.
There could also be rules regarding exterior paint, how long trash cans can sit on the curb, and outdoor storage. It might seem silly to restrict what homeowners store on the front porches and sides of their homes. However, certain items can detract from a home’s curb appeal and bring down the property value of a neighborhood. No one wants to move next door to overgrown weeds and items like hot water heaters in the yard.
Increasing the Value of Your Neighborhood
Location is the primary factor in determining property values. Nonetheless, there is more than one element influencing a location’s desirability. Community amenities, proximity to retail establishments, landscaping, and overall curb appeal are some of them. Incorporating these details into your neighborhood’s planning, development, and maintenance standards will increase its valuable charm.
