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Off-Plan / New Build Properties
These can be modern state of the art buildings which can be particularly appealing to tenants looking for modern city living or modern urban housing. Tenants appreciate moving into a brand new property as much as we would if it were a home for ourselves. Plus, tenants may be prepared to pay a bit extra for new modern facilities.
However, the downside to new build property is that quite often the properties can be located amongst numerous other newly built property and in respect of apartment blocks this can result in numerous properties of the same build and structure being available at the same time which can make it a very competitive market place for landlords looking for tenants which can jeopardize potential rental income if they are having to reduce monthly premiums to get their units occupied. Not only that but with so many new build properties in one area, how long will it be until that particular development looks out of date in comparison to the next new development going up?
In addition to this, it can’t be ignored that most investors will expect to pay a premium for a new build property in the knowledge that there won’t be any immediate maintenance work required on them. But on a positive note, these properties generally require very little maintenance and of course no outside space to maintain on many apartments. Plus, many of them will carry a NHBC certificate covering 10 years from completion.
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Off-Plan New Build Properties