Tham khảo tài liệu 'the unofficial guide to real estate investing by spencer strauss and martin stone_4', tài chính - ngân hàng, tài chính doanh nghiệp phục vụ nhu cầu học tập, nghiên cứu và làm việc hiệu quả | COMPONENTS OF RETURN 75 land and the existing structure that sits on it. Naturally this drives prices up. Rural areas on the other hand tend to have plenty of vacant land available. This greater availability of land makes it pretty simple to find willing sellers the end result is lower prices for real estate in these areas. Transferability refers to the ease of buying and selling any commodity. As you know investments such as stocks and bonds are fairly liquid because you can transfer them from one owner to another pretty quickly. Real estate on the other hand can t trade hands nearly so fast. This is usually related to the number of potential buyers and the ability or lack thereof to find adequate financing. There may be many buyers and hundreds of lenders for the modest two-bedroom one bath home you are trying to sell but how many buyers and lenders would be interested or qualified to buy the Chrysler Building Significantly fewer. Utility refers to the usability of property. With real estate the value of a property is directly related to its highest and best use. For example a small parcel of land in a residential area will probably be limited by the potential value of the home that can be built on it. A large commercial lot close to a highway entrance or a shipyard however could be an extremely valuable location to build a manufacturing plant. According to this principle the greater the utility value the greater the price of the property. Finally the demand principle of appreciation results from the upward desirability of the property. This is the same phenomenon that affects the price of tickets to any major event that sells out at a moment s notice. Think about the scalpers that roam the parking lot of the Super Bowl or a Bruce Springsteen concert for example the reason they are able to get top dollar for their tickets is because the demand for their product is so great. If these scalpers were hawking tickets to see a clown making balloon animals odds are they
