The housing market is under unprecedented demand, thanks to a combination of explosive population growth and fairly anaemic growth in the supply of housing. The demand for housing is considerable, but it’s most acute in the new-build sector, which for a variety of reasons has proven irresistible to many new buyers.
Let’s look at why new-build homes might appeal.
Modern design and energy efficiency
When a house is built from scratch, it must comply with modern regulations. These are more stringent than those that applied to the houses of yesteryear. At the same time, technical advances in material science mean that new builds perform very well when it comes to heat retention – they’re often designed to be ‘air-tight’, which means that they don’t have the problems with moisture that can creep in when an older building is retrofitted with modern insulation.
Reduced maintenance and move-in ready
Newer builds tend to be more resistant to wear and tear. When they do need to be maintained, the work tends to be straightforward and inexpensive. This contrasts with older properties, which can harbour a range of problems. Invest in a new-build, and you can also be sure that the plumbing, wiring, and appliances all meet modern standards.
Government incentives and financing options
It’s often more cost-effective to buy a new build, thanks to the range of warranties, specialised mortgages, and government incentives on offer. This includes the ‘First Home’ scheme, under which a qualifying home can be bought for half of its market value.
New builds are often more prone to fluctuating in value during the early years. As such, many lenders will require a larger deposit on a mortgage. On the other hand, the validity period tends to be slightly more generous, which can provide additional peace of mind, in the event that the building should be delayed. Many lenders will consider a home ‘new build’ if it’s just a few years old, too.
If you’re going to get the most from your new build, financially, it’s worth commissioning a snagging survey. This will draw your attention toward any defects that might be covered by the warranty. Just be aware that some of those defects might be considered ‘within tolerance’.
Of course, new builds don’t have a chain of buyers attached to them. As such, it’s often easier to get the sale through.
Conclusion
The appeal of the new-build home shows no sign of diminishing, thanks to a range of factors – many of which we’ve touched upon here. Generally speaking, new builds tend to appeal to those who’d like to keep their costs down in the long run, without expending too much thought and mental effort on how the house is going to be improved and cared for over the coming years.