The ‘New Build’ Premium Conundrum – The Property Chronicle
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The ‘New Build’ Premium Conundrum

Residential Investor

While homeowners will pay a premium for their new build properties, a lower percentage of tenants will not. But does the data agree? In this month’s Market Mover, Gav delves deeper into the inconsistencies we’ve found in the ‘new build’ market last month.

Read Time: 3 minutes

Finding the difference between prices or rents of new build and existing stock is easier than ever using the REalyse platform.  In our ‘Analyse’ section, by simply selecting ‘New Build’ with one indicator and then ‘Secondary’ with the same indicator, you can plot them side by side, like so:

One client asked us if we could go a step further, using the REalyse platform to calculate the difference between new build prices and those of secondary stock for every local authority in the UK.  And further still: to do so for both rental and for sale properties. 

We like rising to a challenge.  Within minutes later, we sent them the results. 

Now obviously this is quite a valuable piece of information, so it would be amiss to publish it in full here. The results did, however, point out some interesting inconsistencies. 

Residential Investor

About Gavriel Merkado

Gavriel Merkado

Gavriel Merkado is Founder and CEO of REalyse, the UK's leading real estate data system. Having previously worked in quantitative strategy with several hedge funds before moving into real estate with companies like Quintain and Essential living he sought to find a way to bring the data analytics capabilities of finance to the world of property. The award winning REalyse platform is now in use by leading financial and real estate firms alike.

Articles by Gavriel Merkado

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