Considering whether to buy a new build – either for your own family or business purposes? Whether you’re a prospective homeowner or investor, there are plenty of reasons to ensure new build properties aren’t excluded from your search for a smart investment.
Are new builds a good investment?
Yes, new builds are a good investment!
It’s a common misconception that new builds may not be a wise investment because they temporarily experience a small dip in value after being purchased.
However, this slight change in value, driven by the loss of the initial ‘brand new home’ premium, usually only lasts for two to three years. After this period, these properties tend to appreciate in value.
As a result, if you’re looking to own the new build for a longer period of time (Zoopla finds that homeowners often wait nine years on average before selling!), you’re more likely to see a return on your investment, according to Middleton Advisors.
Why is buying a new build a good investment?
Higher rental yields
If you’re an investor and plan on purchasing the property to rent out, then you’ll be pleased to hear that modern homes in the private rental sector now command an 18% rent premium over traditional rental stock, according to the British Landlord Association.
This premium is typically attributed to the high-spec fixtures, energy-efficient features (such as modern boilers and high-quality insulation), and desirable amenities.
This allows for a higher rental yield, making them a popular option for buy-to-let (BTL) investors.
Minimal maintenance costs
Whether you’re a homeowner or investor, low maintenance properties can be particularly appealing as they have reduced maintenance needs, helping you to save costs on repairs.
New build properties naturally benefit from newer fixtures and a high-quality finish, and they also haven’t been negatively impacted by any hidden wear and tear from previous owners, allowing new homeowners or investors to immediately start saving money on upkeep.
Strategic location
It’s common for the location of new build developments to be carefully considered by designers and contractors, ensuring these properties are built in strategically popular locations.
Subsequently, new builds often benefit from strong transport links, good schools, intentional green spaces, and convenient access to everyday essential amenities, like shops and restaurants.
This desirable location helps the homes to retain their value when you’re ready to sell.
Eaton Homes’ latest residential development, The Old Cattle Market at Beeston, for example, is based in the Cheshire countryside, close to essential amenities, and soon to benefit from a handy convenience store, too.
Reduced running costs
Thanks to the many energy-efficient features of new build properties as required by the 2021 Building Regulations Part L (Conservation of Fuel and Power) and F (Ventilation), owners can benefit from significantly reduced running costs.
These features, which tend to include additions like enhanced insulation, low-carbon heating solutions, and high-performance glazing, can make new build homes more attractive to both homeowners looking to cut costs and investors who are keen to attract tenants.
Reassuring warranties
While developers aren’t legally required to provide a builder’s warranty with their new build properties, practically all new builds are sold with a reassuring structural warranty of 10-12 years, highlighting the quality of these homes.
All properties within our latest Beeston development come with a 12-year warranty and our team is also committed to providing a snagging period to ensure any minor faults are quickly identified and remedied.
Strong market demand
Whether you’re planning on renting out the property, or living in it until you’re ready to sell, the strategic location, energy-efficient features, and high-quality finish of the new build help to attract prospective homeowners and tenants alike.
More recent new build developments also tend to include convenience stores, communal green spaces, and even
playgrounds, making them popular areas for a vast and varied market of buyers.
Start investing in your future, today
Regardless of whether you’re interested in securing a home that will provide a good return on investment when you’re ready to sell, or a property that provides high rental yields from the start, new build properties are a great place to start.
Our most recent Beeston development features a wide range of new build homes, varying in both size and layout to meet the needs of everyone – from large families and young couples to individuals looking to downsize to smart apartments.
To arrange a viewing of a new build property located on The Old Cattle Market, Beeston site, simply give us a call on 01829 824044 or submit an enquiry via email to info@eatonhomes.co.uk
Considering your options? learn more in our home buying hub or view available plots at Beeston Market.
