Which of the following factors affect the cost and desirability of real estate?

Planning and zoning regulations play a crucial role in determining the cost and desirability of real estate. These regulations dictate how land can be developed and used, directly impacting property values and the type of developments that can occur in a given area. For instance, if zoning laws allow for a mix of residential and commercial developments, it can enhance the area's desirability, potentially driving up property values due to increased accessibility to amenities.

Moreover, restrictions imposed by planning regulations can limit the supply of available properties, thereby affecting their market value. Areas subject to strict zoning or planning regulations may experience slower growth in property prices, as developers might find it more difficult or costly to bring new projects to market.

While factors such as building design, market trends, and local climates are indeed influential in shaping the real estate landscape, it is the planning and zoning regulations that specifically control how land can be developed and what can be built, which ultimately has a direct correlation with the economics of real estate investment.