How scarcity can affect property values?

Scarcity can significantly increase property values as limited supply often leads to higher demand. When there are fewer properties available in a desirable area, buyers may be willing to pay more, driving up prices. Additionally, scarcity can create a sense of urgency among buyers, further intensifying competition and pushing values higher. Conversely, if a property is abundant in a particular market, its value may decrease due to oversupply.