Display Homes | Best way to invest in property | Achieve Homes

Are display homes the best way to invest in property?

Are display homes the best way to invest in property?

Posted on: 18th May, 2020

Last updated on November 20th, 2020 at 10:11 am

When it comes to showcasing our skills, our craft, and what we have to offer in general, to influence the buying decisions of potential clients, it is only reasonable to put our best feet forward. This means showing off the best products we have on sale to convince prospective buyers that we are the real deal and its time to look for best way to invest in property.

Well, that is what our display homes are to us, letting us put our best feet forward. These display homes are built to taste, esthetic furnishing, intricate kitchen designs, top-notch architecture, floor coverings, and impressive landscaping, all to attract potential investors. However, are they the best choice for property investments?

Display homes are attractive options when it comes to property investments, as they are located in the best areas with the best facilities. Now imagine you could purchase such an investment with the assurance of a rent return up to 8%, coupled with having tenants who manage to keep the place clean, with professional cleaning done a couple of times during the rent period. Sounds great, doesn’t it? That is an advantage that comes with purchasing display homes. But do these homes serve as an excellent long-term investment? Here are some of the benefits that come with buying display homes.

Benefits of buying a display home:

  • Fitted with high-end materials: Display homes are built with the best materials, top-notch finishes, all in a bid to highlight amenities, and the top features that the builder has to offer.
  • Display homes certainly look better than the older homes on the market, as it is used to catch the attention of new customers. No one lives in this home, which leaves it in a better condition than most homes. Builders exert themselves to make sure display homes are built to taste and good enough to impress a first-time buyer.
  • Discount payments: Display homes tend to sell for less than the original value, which is a great deal for the buyer.
  • When you decide to purchase a display home, you buy a new home sooner than expected. Choosing to invest in an already built display home is undeniably faster than building on a vacant piece of land from the ground up. It is also less stressful as it is on a see, inspect and buy basis.
  • With a display property, you do not need a property manager, so that saves you money on property management fees. Note that when you buy a display home, you are signing up to be surrounded by great neighbors, a good plus if you ask me.
  • An opportunity for rental yield: With display properties, you have the chance to earn some more money, especially in a case where you are not in a rush to move back in. In most instances, home builders sell these homes and then rent them again from the buyer at rates that are slightly higher than the usual, so you make your profit. Depending on the agreement made, you could even end up buying some of the furniture and other fittings in the house at discounted rates, cutting costs in a significant way.

Purchasing a display home is not all fairy tale, as there are a few CONS when you buy a display home. Some of them include:

  • Banks do not consider display homes; the rent the builder is ready to pay for loan assessments. They will only consider rent paid if the property was rented for residential purposes.
  • The rental yields will only be high if the home is leased to the builder; subsequently, it will become available at market rates.

Ultimately, it is up to you to decide on the best property investment for you, but you should weigh both the pros and cons before settling on your choice. We have only highlighted these to broaden your insights and make your decision easier. For further clarification, you can contact us for help, and we are sure to help in the best way we can.

Achieve Homes’ display homes are currently for sale on a leaseback offer. The display homes on sale are the Ginninderry Display Home, in ACT and the Olivine Display Home and Woodlea Display Home located in VIC. For more information, get in touch with us today.

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