How much should a house be reduced because of location?

Question

How much should a house be reduced because of location? The house is a very nice neighborhood, great schools, no over hanging power lines, but it borders a freeway. The house borders to be more exact the freeway entrance, then the freeway is about another 50 yards away. I know the term location, location, location but how much do you think the house should be lowered compared to other house more central in the same neighborhood. One benefit is it only takes about 1 min to get on the freeway, but I know a lot of people will not like to live near a freeway entrance with the freeway next to it. It's in San Jose Ca. the Berryesea area the entrance on the freeway is Hostteter. The Public Light Rail Transportation is in walking distance also.

Answer 1

You are right location is everything in real estate. The only thing you cannot change in a house is its location. So it could devalue the house as much as 50%.

Answer 2

Location is local in nature, and no one that doesn't live there can tell you that.

If you live in a very congested area, it doesn't necessarily drop in value..that is an incorrect assumption.

To you that may be a negative, but to someone else that may be a positive.

Call a local appraiser and ask..no one here can answer that question accurately.

Answer 3

It could have a higher value.  I own several rentals that are right at the highway entrance. They are being rented as residences.  However, they're zoned HI (business).  I have been buying up all the houses in this area for several years.  The prices have always been low because no one wanted to purchase a "house on the highway" and I have been renting them out for cash flow.  Once I have them all, I can resell them all as a large package; and since the zoning is already in place - no additional expenses.  The last time I did this, Walmart purchased it.

Answer 4

I am familiar with that area, this is a PLUS to your value, not a minus.   That sound wall makes it quarter then homes 1/4 miles away.

The area sells quickly, you will not have to reduce your price at all, easy access is a HUGE benefit there.