The economy of that area and diversification of employment and types of people who get attracted to the area as tenants for employment or business perspectives.
This directly affects the vacancy rate and the quality and amount of tenants that are coming into that area. All these directly impact rent level, occupancy rate, and vacancy rate.
It defines the amount of income that the tenant can spend on rent and sustainability, desirability, profitability, etc.
The livability and attractiveness defined in that area by the future infrastructure plans of that area.
It is generally based on different steps like increase and income and the value prospect over time.
Start researching the property in different areas, check all the other details, check all the details related to the property, and negotiate the deal with the agent or directly with the seller.