As our elders always say, old is gold! This idiom perfectly fits within the property scene! Nowadays, people tend to keep their eyes wide open when a new development comes by. However, how many of them keep a lookout for those subsale homes up for sale?
Yes, brand new properties are unlike any other. Nevertheless one must take note of the benefits of owning a second-hand home, as there are advantages such as lower post-purchase cost or undervalued market price, if you select the right type of second-hand unit based on the factors summarised below!
1. Renovated & Furnished
Is it renovated? Is it furnished? Wouldn’t it be great if these major works were settled without spending a dime? New homes have its perks, they come with an empty space that you can decorate and design according to your liking. Despite this, there will always be potential clients looking at units that won’t incur much cost or time.
If we’re lucky, the previous home owners would have left some furnished items such as sofa sets or kitchen cabinets that are in good condition for our use. So, for those eyeing a ready-made unit equipped with basic furnishing, a subsale home may not be a bad idea and might as well be a good investment that can prevent all sorts of renovating or furnishing inconveniences that may occur.
2. Established Neighbourhoods
This point right here speaks to almost every new house owner who happens to move into a new unit within a recently developed housing area. The environment within these new housing estates may seem hostile or rather discomforting for some. It may take a while till new condominiums or residential areas are filled with new residents who we can call our neighbours.
With that being said, one may opt for a lively environment surrounding his or her recently purchased unit. Second-hand homes are ideal in this scenario as they are usually within an established township which includes facilities and other amenities within the compound. With existing operational outlets such as restaurants and grocery stores within reach, this can be a plus point of buying a used home.
3. Attractive Price
There is a good number of used homes priced way below the current market price. In order to seize this opportunity, property enthusiast must set their sights in all directions. Who knows? There may be desperate sellers willing to let go of their current homes for lower price figures.
By purchasing a unit for a lower price, new owners may feel at ease to use the rest of their budget on expenditures such as renovating or adding furnished items. Once completed, they can then proceed to sell it for a higher price which is known as the flip and sell strategy. Thus, this can be a chance for investors to cash in a big sum as well.
Owners can benefit 3 ways from this, which is to either renovate and immediately sell it for a higher price, or hold onto it by renting it out, or staying there for some time and then sell it for a way higher price figure.
4. Reliability & Transparency
When we buy a product, we’d like to own that very product almost immediately! This is within everyone’s interests. In the new property market, it is only normal to pay now and expect your home to be ready in the two or three years. Wouldn’t it be cool if you can get your hands on it once you’ve signed the documents? No more delays or playing the waiting game on when will your new home be ready, as used homes are already in place for us to move in.
Here’s the best part! Transparency is absolute for this type of property purchase due to the fact that everything is visible to the potential customer. Any leakages in the house or any wall crack issues within the whole place can be inspected and discussed, in which may lead to negotiations relating to the selling price and fixing costs involved.
Conclusion
All in all, the property industry can seem like a tricky place to invest in. Nonetheless, if we look deeper into the details, a wise investment strategy is a possibility for all of us. It is up to the potential players out there to either invest in an upcoming project or an existing home. In other words, an open minded individual will enjoy the fruits of both new and old property types if he or she selects brilliantly!
The idea is to keep our heads low and remain focused on the types of units up for sale which suit our needs. We’ll end this thread by reminding all of you to never underestimate the value of a second hand home that may turn out to be the best investment success story for you!
Looking for a house? You can browse through here or just post your requirements on PropSocial and we’ll be in touch with you soon.
(Written by: Sathish Veera, 27th April 2018)
