If you are thinking of buying a house at the moment, you need to decide whether you want a new build or renovation project. Both have their advantages and disadvantages, as well as varying price points. A renovation project can add profit and value to a home, while a new-build is more energy-efficient and ready to move into. It all depends on your family situation, location, financial flexibility, and the style of home you’re after.
A renovation refers to improving an old or damaged building to a better state of repair. For example, a property may need structural renovation, like an extension, rewiring or a redesign of the floor plan. On the other hand, cosmetic renovations tend to be more affordable and refer to painting the walls, laying new flooring, and updating the furniture.
If you are renovating the property, you have the luxury of creative freedom. You can design your perfect home and work on a blank canvas. Creative freedom allows for all your ideas to become a reality – from your dream painted kitchen to open plan living with bi-fold doors onto a wonderful green outdoor space.
When looking for a property, go for the cheapest property on the most expensive street to maximise your profit margins. Then, once you have renovated the home, you may be able to flip the property for a whopping profit.
However, with renovations comes a whole lot of unexpected costs. Many people go over budget and underestimate just how much work needs doing on the property. Always seek the advice of a professional surveyor to assess how much structural and cosmetic work needs to be done before buying the property. There may be much more work than there appears to be at first glance.
New builds are properties that have either just been built and never lived in – or homes in the process of being built. They are often more energy-efficient, affordable, modern and can be customised to your taste. For example, you may choose from a few options on the style of kitchen, bathroom, and bedrooms while the property is being built.
However, new developments don’t often have the same sense of community as an established neighbourhood. The new homes can feature poor quality furnishings to make them more affordable, and there can be a few hidden costs. Ensure to thoroughly evaluate your development contract before you sign any agreement or put down a deposit. There are also frequent delays on these properties as they are still being built. However, new builds are perfect for young families trying to get on the property ladder for the first time.
There are pros and cons to both renovation projects and newly built properties. Choose a property for your family based on your needs, wants and personal style.