Data alone is not the panacea of selecting the right property!
Data analysis relies upon:
• Step one– Getting access to all the necessary data for every location in the country (not easy)
• Step two- Understanding which data is important and which is not (even more difficult)
• Step three– Successful analysis of a location and/or property. (still requires physical reviewing of the location and property to back up the data)
Just to confuse things further, in some cases the same measurements of data can be a positive for one location and detract in another. This is a topic in and of itself.
Before analysing the data, you need to ensure the location or property that you have selected to analyse is the right location for you. This means it needs to align with your goals, your lifestyle or investment pathway, your cash flow and your tolerance for risk.
Because we live in property, It can be very easy to have assumptions and cognitive biases that are just not accurate.
These assumptions and biases can cost us hundreds of thousands of dollars!
Making educated and informed decisions takes effort, but is well worth the reward.