(Newswire.net — April 22nd, 2014) Brendale, Brisbane, QLD —
The cost of living for many Brisbane residents has gone up over the past few years with housing being a major contributor to the problem. With many people spending almost 30 percent of their income on private rentals, building investment property in Brisbane is definitely a great idea as it comes with long term benefits. However, there is a debate as to whether building a new house is better than buying an already existing one and there is a good reason as to why the two options should be weighed against the other before making the final decision.
Brisbanenews.com.au recently reported at the end of March 2014 that BRISBANE property values have bounced in the past month with new figures revealing a strong finish to the first quarter of the year.
Values rose by 2.9 per cent in March according to the latest RP Data-Rismark March Hedonic Home Value Index.
That increase followed a poor performance in February when values dropped by 2 per cent.
While Brisbane values are still 5.2 per cent below the market’s previous peak Ben Skilbeck of Rismark said it had one of the best rental yields of the capital cities.
“With Brisbane dwelling values up 2.9 per cent for the month ended 31 March 2014, it now looks like the 2 per cent fall in February was representative of natural market volatility as opposed to being indicative of a downward trend,” he said.
Although buying an already existing investment property might look like a good idea for many people, there is no doubt that building your own house has many advantages. The advantages associated with this move far much outweighs the disadvantages and costs involved. Below are some of the advantages for your consideration.
- First, building a new investment property allows you to customize the entire design and layout according to your preference and needs. This means that from the very beginning, the design will reflect your aspirations and needs as opposed to what you get when buying an already existing property.
- Building investment property in Brisbane also gives you an upper hand when it comes to resale. New houses are more appealing to buyers as opposed to the older units and therefore will be a profitable venture for you.
- A new investment property allows you to access grants that were introduced in 2012. First time home owners can benefit from this by contacting the State Revenue Office to determine their eligibility and availability of funds.
- Building a new house for investmet in Brisbane also allows you to benefit from different types of home loans available, thus making the building process easier and manageable.
The Courier Mail also reported that low supply of properties are boosting bids which is also another reason why building an investment property pays over purchasing an pre-existing home.
Although we cannot ignore the fact that building a new house will take time, it is obvious that doing so will save much more at the end of the day. Considering that everything used in building is new, you are likely to take a long time before requiring any maintenance expense on your AC system, insurance and furnace among other things. New investment developers are also likely to get discounts from contractors such as OJ Pippin Homes, Brisbane, Australia.
It is, however, important to do your calculations carefully to decide whether you are comfortable going for an old unit or building an investment property in Brisbane.