Why some cities are expensive than other to buy homes?
World has witnessed the meteoric property rise in the last decade. But some cities in the world are expensive to buy a home, while others are cheaper. The factors that increase or decrease the value of a city’s property are good job creation, high population density, high security and better medical & educational facilities.
Good employment facilities
Cities with the world class business districts that provide the aspiring jobs are the desire-able cities to live in. Homes & properties are expensive in these cities, as people are always willing to relocate for good career opportunities. This is why Hong Kong, Beijing, London, Paris and New York are the expensive cities to buy a home.
High population density
Cities with the high population density are always expensive. Cities have the limited space and high population density increases the demand for properties. When many people are chasing the same house or property, price is always high. Due to high population density, Monaco is the most expensive city of the world to buy a home.
High security
People are always willing to pay more for the areas or cities that have good security. Property is always expensive in the regions that have peace & security. Whereas the regions or cities that have low level of security are cheaper to buy property. London, Paris, Beijing, Moscow and New York have good security and property is very expensive in these cities.
Good educational, medical & recreational facilities
People always love to live in the regions or cities that have good educational, medical & recreational facilities. Properties are always expensive in the cities that have world class educational institutions, medical centers and recreational amenities. London, Paris and New York have the world’s best educational institutions, medical centers and recreational facilities. This is one of the reasons that properties are very expensive in these cities.