Benefits of Building a New House as an Investment Property in Sydney
If you are planning to invest in properties, you are probably trying to figure out if it would be better to build a new home or buy something already established. There are very good reasons to invest in both new home builds and buy an existing property. It is simply a question of deciding what would be best for the investment strategy you have.
Advantages of Building a Home as Investment Property
The following are some of the benefits of building a new home as an investment:
Tax Benefits
Working with a new home builder in Sydney means you can get to claim depreciation on the construction costs of the home or building for several years. Since the fittings and the fixtures are also new, you can claim depreciation on those too.
Warranties and guarantees
When a property is brand new, there is little chance of unexpected maintenance work and repairs. House builders in Sydney grant a warranty of around 6 years on average, ideally you want a home builder that offers a life time structural guarantee. Appliances in the home like an oven, stove, washing machine, and dishwasher – will have varying warranties that can range from 1 year to 5 years. It enables you, as an investor, to easily forecast costs and anticipate cash flow.
Build to match market demand
When you choose to build a new home for investment property in Sydney, you have the freedom to decide what type of property it will be. You can decide what type of home will be in high demand for rentals in the most popular high rental suburbs in Sydney.
You can also have a new home builder in Sydney construct a home that may be rented to more than one tenant. It will help you get a better rental income. Or you can have the home constructed in such a way that you will be able to add or subdivide it in the future should you decide to do so.
There are other benefits of opting to build a new house as an investment. However, the best option for you all depends on your goals, objectives and budget. Talking with a long established reputable home builder will help answer any questions or reservations you may have.
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