ASK433: How do I value new build properties? PLUS: Are flats with cladding an opportunity?
Jun 18, 2024
auto_awesome
Rob & Rob discuss the capital growth potential of flats with cladding and EWS1 certificates. They also offer guidance on valuing new build properties in areas with limited comparables, emphasizing the importance of assessing based on their merits and comparable properties.
Investing in flats with cladding and EWS1 certificates may offer capital growth potential post-resolution.
Valuing new build properties in areas without comparables involves assessing unique merits and market demand.
Deep dives
Investing in Flats with Cladding and EWS1 Certificates
When considering investing in flats with cladding, having an EWS1 certificate can alleviate concerns as it satisfies lenders and ensures smooth financing. City centre apartments have shown faster price appreciation than houses due to budget constraints and the urban market rebound. Investing in flats without EWS1 certificates may present opportunities if approached cautiously, as uncertainty can lead to lower prices initially, with potential for value increase post-resolution.
Valuing New-Built Properties in Developing Areas
Valuing new-built properties in areas lacking comparable properties involves assessing the unique merits of the property. Developers should provide evidence of sales prices to justify property values, ensuring market demand sets the value. In city centers, comparing with recent completions or anticipating future amenities can help establish pricing. When investing off-plan, research on facilities and amenities relative to the area's offerings can support valuation decisions.
Rob & Rob are back to offer their advice to two more listeners!
(0:45) Mussa is curious to know if flats with cladding still face a negative perception, even with EWS1 certificates. He seeks Rob & Rob’s advice on whether these properties offer good capital growth potential or should be avoided as property investments.
(3:48) Thomas is at a loss on how to properly value new build properties since there are no comparable ones in the area. He turns to the guys for their expertise and guidance.
Enjoy the show?
Leave us a review on Apple Podcasts - it really helps others find us!