I’ll leave it to you to read the rest of the study if you so please, but when starting out as a real estate investor, one of the more important things to understand is the viability of your investments future. Is the location poised for upward trajectory? It seems a bit trivial, but I believe it is always nice to touch back on basics, if for no reason other than to see if you are still grounded. If you speak to any investor, developer, planner, agent, broker… you will (hopefully) notice that they all have their eye on the long-term vision of their next investments location.
Investopedia defines Directional Growth as:
“The direction in which a city tends to expand.
This is an important trend to observe for a long-term business investment. You can advantageously invest in an errand where the market value is lower but has an expectation to grow based on an expectation of population growth.”
There is a natural force that dictates a lot of the growth and direction of systems, large and small. City developmental growth is no exception. With that in mind, it is crucial to have your vision to the future when placing your money into a property. Knowing and studying these systems can serve to mitigate risk and even take guesswork (and stress) out of your equation… at least to some degree.