Six Benefits Of Buying New Build/Off Plan Property in the UK
Published by Magnate Assets on
May 23, 2023
Investing in new builds or off-plan properties is a popular strategy in property investing. For those seeking a hands-off approach, investing in a new build can offer several advantages that make it an attractive option. Magnate Assets, a leading property investment firm, explores the benefits of investing in new builds and off-plan properties.
Higher EPC Rating
One significant advantage of investing in new builds is the higher Energy Performance Certificate (EPC) rating they typically possess. With the government's increasing focus on energy efficiency, considering the energy performance of a property is crucial. New builds often incorporate the latest energy-saving building materials and intelligent technologies, making them up to four times more energy-efficient than older properties. By choosing a new build, investors can minimize the risk of future expenses associated with improving energy efficiency.
10-Year Structural Warranty
Most new builds come with a ten-year structural warranty, providing added peace of mind for investors. This warranty covers any repairs related to the fabric of the property. Whether it's faulty electrics, cracked plaster, or a malfunctioning heating system, these issues can be addressed and resolved under the warranty. Such coverage reduces the financial burden on investors and ensures the longevity of their investment.
Unlikely Need for Repairs
Due to their newness, new builds are less likely to require immediate repairs. This aspect reassures investors that unexpected repair costs won't affect their bottom line. Additionally, many new build fixtures, fittings, and structural components are often covered by warranties or guarantees, minimizing the risk of unforeseen expenses.
Investing in a new-build property means being "chain-free," eliminating the need to wait for a seller to find a new home before the property can be occupied. If a new-build property is ready for immediate occupancy, the sales process can be swift, allowing investors to start generating rental income without delays. This advantage enables investors to maximize their returns and capitalize on rental opportunities promptly.
Incentives and Offers
Developers of new-build properties often offer incentives and deals to attract buyers. These incentives may include stamp duty exemptions, free furniture packs, or contributions to legal costs. Such benefits can make purchasing a new investment more affordable and accessible, providing investors additional financial advantages.
New Properties attract higher rents compared to similar but older properties in the same area as they are more desirable to tenants looking for quality homes that are efficient to run and offer the latest modern options.
Investing in new build properties presents numerous benefits for property investors, particularly those who are time-poor but financially well-positioned. The combination of higher energy efficiency, structural warranties, minimal repairs, a lack of chain, and developer incentives makes new build an attractive and hassle-free option for hands-off investors.
At Magnate Assets, we understand the appeal of new builds and off-plan properties. Our expert team can guide you through investing in these opportunities, helping you achieve your investment goals while minimizing the complexities. Explore the potential of new builds and unlock their advantages in the property investment market today.