All those who invest in real estate face the same dilemma: should you buy an existing house and renovate it completely or Start from a blank page and opt for new building construction? Both options have their advantages.
Choosing a renovation project often hides financial motives. Renovation projects will allow you in many cases to benefit from a VAT rate of 6%, against 21% for new construction. On a project of 200,000 dollars, you will pay 30,000 dollars in a VAT on new construction. And it takes a little time to amortize these additional costs. At the same time, various bonuses are planned for renovations.
On the other hand, it is common that renovation costs far exceed the initial budget though it isn’t so with Weston Real Estate.
You can certainly spread these fees over time, but it is not always an advantage for the real estate investor who wants to complete his building as soon as possible to make it profitable, you can purchase a building on Bonaventure Condos though. Also, it is advisable to set aside a reserve for structural maintenance costs as soon as a building is more than 10 years old (especially in the case of an apartment). As an investor, these are additional resources that you freeze.
A new building like the Botaniko Homes has the advantage of allowing you to achieve a much lower level of energy consumption than is generally possible with a renovation. Of course, it is especially the occupant who will benefit from all these investments, since he will be presented with a less salty energy bill. But energy consumption is a factor that weighs more and more heavily in the decision of many buyers and tenants. Be that as it may, new homes are often more popular in the marketplace because everything is new. It will be easier to find buyers or tenants willing to pay a little more (although the price must, of course, remain correct).
Another advantage of the new construction is that if you start from a blank page and everything has yet to be done, you can use the available space optimally. This is less the case for renovations, where existing structures impose certain restrictions. Also, it is often easier to estimate the cost of new construction in advance.
Should we, therefore, avoid renovations? Certainly not. The renovation is even preferable to new construction for some buildings, especially those with radiation very special for which public (generally smaller) is ready to loosen the purse strings. The majestic mansions are a prime example, as are the old industrial buildings that are perfect for lofts. A new proof that every real estate adventure is different.