A common question investors have when creating property investment strategies is whether to buy an existing property or build a new property. The right or wrong answer will be decided by the research behind the property combined with your individual circumstances. Remember that it is prudent to consult with experts who can provide advice and assistance to your specific circumstances.
The Benefits Of Existing Properties Or Off The Plan
Investors that choose to buy an existing or off the plan property typically are not experienced or lack the knowledge to buy land and construct a house. Investors also find it fits their portfolio to purchase a property off the plan whilst they are constructing another investment property allowing them to add 2 properties to their portfolio rather than 1.
Why Building Might Be Right For You
There are upsides to building new properties that can prove enticing to investors. An advantage of a new building is that it is new and, with modern floor plans, more appealing to new tenants with potentially higher rents. They also need less maintenance than older buildings which can prove costly. Finally, there may be significant tax deductions available with new buildings and the potential for early investors into new developments to make significant capital growth.
Whether you choose to invest in an existing property or building a new one, the right investment strategy is essential. It is worthwhile seeking the help of a property advisory professional to find out more about your options. Contact Silverhall on 1300 662 143.