Why invest in new real estate? New property investment Even if the purchase of an old home is not without advantages, investing in the acquisition of a new property, especially to rent it, is even more interesting.
This form of real estate investment has many advantages.
invest in new real estate A profitable investment
The first reason to gain a new property is that it is, in the long run, a more profitable real estate investment. When buying, a new property is a little more expensive than an old one.
But the notary fees, in the new one, are half as high, on average, as in the old one. When you buy a new apartment or house, there is no renovation work to be expected, while this is most often the case in the old one.
Likewise, the respect in the design of these new homes, with very strict ecological standards, will lower your energy bill.
And if you are buying a property to rent it out, you will get a better deal by buying a new home.
Indeed, you will not have trouble finding tenants, seduced by the amenities of housing benefiting from optimal comfort.
That is why it is in your best interest to search for a property on the list of available new real estate programs published by the real estate developer Cogedim.
Present throughout the national territory, they offer you a wide choice of apartments and houses that will meet your expectations.
invest in new real estate A very safe investment
- By investing in new, you also benefit from specific guarantees. Indeed, the ten-year warranty, which is mandatory for the builder, protects you against all construction defects.
- It is valid for ten years, from receipt of the work. Purchase in the new also makes you benefit from the biennial warranty. In short, it ensures the protection of the new owner against everything that is not provided for by the ten-year warranty.
- Finally, the guarantee of perfect completion covers the purchaser against defects that would appear within one year of the establishment of the minutes of receipt of the work.
As we can see, these three guarantees purchase new property is a very safe investment.
Tax advantages for new property investment
Another reason to invest in new real estate is the possibility of benefiting from significant tax advantages. Provided that you buy the property to rent it out.
Here, you will benefit from the Pinel device if at least you comply with certain conditions. Indeed, housing, in a collective residence, must be in certain areas. In addition, the income of future tenants and the rents received must obey certain ceilings.
If we meet these conditions, this scheme gives the right to a tax reduction, the amount of which depends on the rental period.
If you invest in a retirement home or a student residence, you also benefit from an interesting tax reduction. This Censi-Bouvard scheme concerns non-professional furnished rental companies (or LMNP).
There are still other schemes aimed at owners wishing to rent out their new homes.
This is particularly the case with the Cosse device, which allows the lessor accepting to rent his property at affordable rates to benefit from a very interesting tax deduction on his rental income.
Investing on credit in new property investment
The rental investment in the new has another advantage: an easy recourse to credit. Indeed, the rents you collect will allow you to pay your monthly payments.
This will allow you to pay the bill without drawing on your savings. And taking out a loan allows you to consider buying a home that your savings alone would probably not have been enough to pay for. We know such an opportunity as the "leverage effect" of credit.
By purchasing a new home to rent it out, you can also deduct the contributions from your loan insurance from income tax. This benefit takes the form of a tax credit. The tax-free person can receive a check from the State Treasury.
Building wealth from real estate investment
Finally, and this is not the least of its advantages, investing in new is the best way to build up a wealth whose value exceeds that of the purchase of an old property.
In principle, and like all real estate, I appreciate new housing. But, because of the requirements and compliance with the standards that presided over its construction, its value is immediately more important than that of an old property.
So you can hope to resell it more expensive, and realize an interesting added value. It may also be, of course, that you want to pass on this heritage to your children.
There are ways to reduce inheritance tax. Donation is a good way to achieve this, as well as the management of your real estate assets through a Civil Real Estate Company, or SCI.