When looking to invest in property you may find yourself wondering whether you want to buy a new build or an older property.
You may never have considered either in great detail, but there are reasons to consider both types of property.
Do you want to invest in a new build?
When looking to invest in new builds, you may have seen new build developments and off plan properties.
Off-plan properties are properties that are not quite finished enough for tenants to move in.
Investing in these means that the development schedule could change, or the value of the property may increase or decrease.
You will, of course, have to consider all the usual things when it comes to investing, such as the area the property is in, the rental yield etc, and then decide if the new build property is right for you.
New build properties can often be situated in great locations, and provide potential for growth.
You must then consider the developer, the time-scales of the build and the rental yield you can be expecting.
Maintenance costs in new build properties are often lower than older houses, so they may be cheaper to maintain,
Do you want to invest in an older property?
Older properties have an existing base to work from.
Older properties not only have character which provides a base for tenants to work from, but they are also surrounded by existing infrastructure, such as the neighbourhood, which may contain more local amenities compared to a new-build lot. The neighbours will also have been around for a while, meaning a sense of community can be felt immediately.
Of course, when it comes to buying an older home, the purchase price of the property can often be negotiated, as the price can be agreed between the buyer and the seller, rather than a set price that is non-negotiable when buying through a new homes builder. This could mean you can increase your rental yield if you manage to get a lower purchase price.
To discuss which option is best for you when it comes to investing, contact one of our expert advisers today.