According to land experts, Strut and Parker, rural land values actually doubled over 2006-2008. If this trend is anything to go by, then land for sale or real estate is where investors need to put their money. For many investors, when they are considering making a purchase of an investment property though, the first option for consideration are often existing homes, or an inner circle apartment. Rarely do they think about buying a house and land package. The problem could be that not so many understand the benefits that come with making a purchase of a package. This article sheds light into some of the benefits that you accrue when you make a house and land package purchase.
New homes attract tenants better
The main goal of any investment is making certain that at the end of the day you are making good income. When investing in property development, you are probably looking at attracting long-term top quality tenants. Many tenants are often attracted by the idea of living in a modern, clean, new house that has all the conveniences they may need. By purchasing a house and land package you will be offering your tenants this and satisfying them will lead to you charging premium rent, resulting in higher returns on your investment.
Stamp duty levies
When you purchase an already established home then this will mean that you will have to pay for the stamp duty for the house and land as well. However, when you buy new house and land packages central coast builders provide, then you will only have to pay the stamp duty once on the land for sale alone being that the house is yet to be constructed, thus saving you a good amount of money. For more information on the stamp duty rates you can visit websites of builders like http://www.edenbraehomes.com.au/house-and-land/.
Tax and depreciation
The benefits of depreciation are notable in a new home and as such should be paid attention to. The depreciable assets in a new home like fixtures, fittings and even the actual cost of the construction can claim tax deductions. For instance, a new home that costs about 250000 dollars and that is in possession fixtures worth 30000, can create up to 16000 dollars per year deductions in additional to benefits accrued from claiming for the payment of rates, interest as well as rental management.
The best part about new homes had to be the fact that the maintenance requirements are minimal. Most of the times, the building and fixtures will be covered by the builder that can go up to 5 years. Additionally, a new home will lower costs yet retain its value for long as well. Besides, reputable builders only go for standard quality materials as well as make use of great construction techniques. As a result the homes are well built and very efficient to maintain.
When looking at investment as discussed, you should not overlook the new house and land packages Sydney builders offer as they carry a fair share of benefits. The other factors too like the location of the land for sale are also pertinent.