6 Benefits of Houses over Units
b"https://www.youtube.com/watch?v=3s8tPgal6xI\\n\\n\\n\\n\\n\\n\\n\\n\\nShould you invest in houses or units? What are the benefits of investing in houses instead of units?\\n\\n\\n\\nBook a Free Property Strategy Session\\n\\n\\n\\n0:42 - #1: Land Component1:25 - #2: Easier To Renovate and Manufacture Value On a House2:25 - #3: You Can Add Space/Bedrooms To a House3:13 - #4: More Control Over Your Cash Flow4:25 - #5: Houses Tend To Outperform Units Over The Long Term5:06 - #6: Units Can Have Oversupply Issues\\n\\n\\n\\nTranscription:\\n\\n\\n\\nRyan 0:00should you invest in houses or units when you're looking at investing in property obviously you can decide between investing in houses or investing in units with units having the benefit of generally being cheaper than houses in the same area but in this episode i want to talk about six benefits of investing in houses over units hi i'm ryan from onproperty helping you achieve financial freedom and when it comes to investing it's very important that you choose the right asset class that is going to move you towards your goal of financial freedom or whatever it may be so what are the six benefits of houses over units and why should you consider investing in houses so the first benefit is the land component or the land value so we all know that it tends to be the land that goes up in value not the building itself the building depreciates in value gets older with time and less valuable but the land that they're building is situated on is what goes up in value and so when you purchase houses you have a much larger land component than if you purchase a unit so obviously purchasing a unit you've got multiple people on the same block of land meaning that your the your ownership of the land component is much smaller however if you purchase a house you own that full block of land so as the land goes up in value you get access to that entire benefit the second benefit of a house is as much easier to renovate and manufacture value through renovation in a house than it is in a unit especially when it comes to the exterior of a property now when you own a house basically that is yours there's no one on top of you there's no one below you there's no one next door to you or there's a next door neighbor but you're not sharing walls and so when it comes to structurally your house you can do what you want obviously you need to go through council and get that approved but you can do your own renovations without needing to ask for permission however if you're in a unit then there are some renovations you can do internally to the unit in order to increase the value of it without requiring permission from strata but however a lot of things especially if it's going to be a structural in nature or if you want to do the exterior that has to go through strata has to go through body corporate in order to get that approved so it can be much more difficult to do renovations with units and the third thing i guess is is much harder to manufacture value through actually adding space so adding space to a unit you can't really do that it's very difficult to turn a two bedroom unit into a three bedroom unit because the space is defined for you however if you have a three bedroom house there's the potential to do an extension on that property to turn it into a four bedroom house or maybe you buy one of those old houses that have a weird layout you can just change the internal layout to turn it from a two bed to a three bed or a three bed to four bed and increase your value that way or in terms of development as well you could knock down that house completely and you could rebuild something else you could even subdivide that house or there's other development opportunities there for you to get an increase growth and to manufacture growth in your property that just isn't possible with a unit the fourth thing is control over your cash flow so council rates yeah they do tend to be higher in houses than units because you have more of that land and if you own too mu..."