What are the benefits of buying new in the Northwest?
Whether you choose to invest in new builds or buy something more established, Leeds and the wider Northwest region offers a wide range of choice. From mansions just selling for just under £1 million to 1 beds going for around £35,000, it’s easy to see why this region is becoming more popular to property investors and first-time buyers alike.
The choice between a new build or established property is often down to personal circumstances and subjective tastes, but there are some reasons why new can be to your advantage.
Over recent years, building regulations have become increasingly strict. New builds are built to a high spec with a ten-year guarantee. This gives an obvious advantage over an older property in terms of potential repairs and upkeep. With brand new fittings and features, a new-build property means there’s less need to make allowances for the potential cost of repairs and ongoing maintenance. Whether you’re looking to invest as a landlord or as a first-time buyer, this can make a huge difference in terms of what you can afford.
This is a good choice for investors looking to build up their buy-to-let property. By investing in new-builds in Leeds they are taking advantage of a city that is very much on the rise. The government’s Northern Powerhouse scheme has meant it’s front and centre in terms of investment and regeneration.
An increasingly popular choice for investors looking to boost their portfolio, cities such as Leeds, Liverpool and Manchester are offering more diverse options that in London and the South East. They’re also offering strong ROI and rising, rather than falling, property prices.
Even if an older property has been lovingly restored, it’s almost impossible for them to compete with the energy efficiency built in to new properties. Modern building methods have been developed to prevent damp, while double glazed window units, improved insulation and cavity walls provide energy savings on a long-term basis.
Heating systems are always improving and will significantly reduce monthly outgoings when compared with an older property. If you are investing in a buy-to-let property, then it’s your responsibility to ensure it’s safe and fit for purpose. From April this year, it has become illegal to rent out a house with an energy efficiency (EPC) rating of F and G – the lowest possible ratings.
New builds are designed with modern living in mind. They tend to have smaller rooms, less floorspace by square foot and be of simpler design than more established properties. While this can come down to personal taste, for investors, new builds offer the best of both worlds.
Property developers look to minimise wasted space in new builds, ensuring they’re as efficient as possible. This has a knock-on effect on monthly outgoings as energy is saved and costs are as low as possible. And, as they’re designed for modern family life, there are always people ready to rent. Investing in judiciously placed new builds in the Northwest of England this year guarantees a steady ROI and hassle-free management.
While there can be a premium attached to buying a new-build property, so that they can cost more than a comparable older property, there are often more flexible buying options. First-time buyers may be able to take advantage of the government’s Help to Buy scheme, for example. As this only needs a 5% deposit, it opens the door to new home owners. Older properties often need a higher deposit and you’ll likely need more funds for alterations.
Buying off-plan also allows people to plan their move with more confidence. When buying an older property there is a huge amount of uncertainty concerning the seller and other people in a buying chain. This uncertainty can last right up to exchange and is the cause of a lot of stress. Buying a property off-plan removes all this uncertainty.
Buying property in Leeds, Liverpool, Manchester, Bradford or other cities in Northwest is fast becoming the option of choice for savvy investors. Both new-build and established properties offer advantages that just don’t exist in London and the South East currently.