If you’re looking for a home to buy, you might be considering purchasing a new build property instead of an older one. Although the pandemic halted the construction process for several months, it appears that the market is beginning to recover. The number of new builds keeps increasing. To keep up with the rising number of new projects, you can check all new builds for sale on https://korter.co.uk/.
A lot of those developments come with a wide range of perks, such as buying incentives or smart homes technologies. However, there are also some drawbacks to owning a new build home. To make an educated decision, it’s crucial to consider both the pros and cons of purchasing a new property.
- Less work – Usually, after purchasing a new build property, you can unpack your belongings almost right away and just move in. Most of the time, new build homes have fresh finishes and fittings, meaning that you won’t need to spend time covering old works, made by previous owners. In addition, the majority of new residential complexes include kitchen appliances and smart home features for maximum convenience. Sometimes, if you’re buying an off-plan property, the developer lets you choose the design.
- Energy efficiency – New projects are built in accordance with the latest building regulations, which ensure a high level of energy efficiency. Usually, new developments feature double- or even triple-glazed windows, accompanied by insulated walls and roofs. Such measures help you lower your energy bills. The Home Builders Federation has revealed that more than 80% of new build projects have been rated A or B for their energy efficiency measures, while only 2.2% of older properties have achieved the same feat.
- Chain-free – Buying a new build property guarantees that you are the first owner of the real estate, and there is no chain of buyers above you. Having a chain above you leads to risks and may cause you some stress. However, opting for a new build property, you make sure that you don’t need to worry about it.
- Government help – There is financial support from the government aimed to help first-time buyers purchase a new build property. For instance, the new Help to Buy: Equity Loan programme helps cover up to 20% of the cost of a new build home, with up to 40% in London. However, the developer you’re purchasing a property from must be registered in the scheme, while the price limits on homes you can buy differ for each region.
- Buying incentives – Some developers offer incentives to sweeten the deal and coax potential buyers into purchasing from them. Usually, you are offered a cash payment that you can use to fund your deposit or cover the cost of moving. Sometimes, property development companies even help you deal with legal fees or Stamp Duty payments.
- Possible delays – When purchasing off-plan, there is a risk that the completion date will be delayed. If that’s the case, there may be some unexpected expenses, including storage costs or rent. In addition, if it takes too long to finish the construction, your mortgage offer can expire.
- Less space – Older homes tend to be more spacious than new build properties. Some studies show that the average size of a new build home has decreased by 20% over the last 40 years. As a result, a new home may come with little storage space. Although people usually pay less attention to the size of their storage, it may cause some issues and general inconvenience.
- New build premium – Some developers can charge a new build premium, which means that a new build home’s price can be higher than that of an existing property of the same size and in the same neighbourhood. For those who are on a tight budget, a new build premium may be a deal-breaker. However, some argue that a new build home is more energy-efficient and can, therefore, significantly lower your bills, helping you save some money. But it’s important to mention that it will take a few years before it makes a difference.
Buying a home will most likely be one of the most important purchases in your life. Therefore, you need to tread carefully when choosing the type of property you are after. Your decision should depend on a number of factors, including your budget, needs, and preferences. That way, you can be sure that, regardless of what you choose, it will be tailored to your specific situation.