The wish of any owner when reselling his property: realize a surplus value, undoubtedly! Especially when we know that there is no taxation of real estate gains in Mauritius ... We tell you everything you need to know about this concept, and our tips to realize yours.
What is surplus value?
The term surplus value means selling a property at a higher price than the one at which it was purchased. The surplus value is therefore the difference between the selling price and the purchase price.
Of course, this additional profit opens the door to many possibilities: the purchase of a larger house, more savings to finance works, or even afford a nice trip ... A good added value will let you realize your projects!
The question then is: how to realize an additional profit when reselling a house? Here are some clues to help you move in that direction.
Purchase intelligently: yes, but how?
To realise a worthwhile purchase, there is no secret. It just takes a lot of patience! Do not rush on the first housing for sale that matches, from near or far, your expectations. Relax: there will always be attractive offers on the market. Start by defining precisely your budget and your desires.
Once you have met these criteria, consider the prices of the real estate market and its specificities: search on lexpressproperty.com, talk with a real estate professional, discuss about this subject with other people... You will get information from a variety of sources, the more you will be able to establish precisely the prices of the neighbourhood where you want to settle, and the type of property you are looking for. This will allow you to detect bargains, and flee trap announcements!
The location: an essential criterion of your research
Let’s start with a simple observation: the more a property is close to amenities (shops, schools, bus stop, shopping mall, etc.), the more value it will bring to you at the time of resale.
Be attentive to the situation of the property you are interesting in: cities such as Moka or Flic en Flac will always be valuable to new buyers because of their location and the facilities they offer (schools, shops, etc.). ). These regions are indeed at the heart of the trends and are developing at a glance: shopping centres, new housing, offices available and companies that settle there ... all the signs are gathered to justify the success of these thriving places!
Do you prefer to invest in a rural area? The above arguments remain in force: make sure that the property you are interested in maintains a certain proximity with a supermarket, a bus stop or at least a petrol station ... what to help you in case of need, and reassure potential buyers when reselling!
Be daring: an undeniable asset!
As mentioned above, the more you gather information about the situation of the Mauritian market, the more you will become expert and ensure the quality of your purchase. If you’re not on your first real estate purchase and want to invest your savings, then maybe you’ll venture into a riskier bet ... For example buying into a neighbourhood at the start of its development, or a village that you think will evolve in 10 years.
Let your instinct guide you and be visionary!
Work is a definite asset
If you are not able to anticipate future real estate trends, other solutions exist to realize added value. You think of yourself as a bit of a handyman? Here is a tip for you: did you know that another option to benefit from a good resale value is to buy a house to renovate and resell it once the work is completed? It is an increasingly common phenomenon throughout the world, as the idea is ideal for budding do-it-yourselfers who want to put their talents to good use.
The layout of the house has a considerable impact on the resale price. A house completely refurbished and in perfect condition is reassuring for the buyers, since it does not require work and does not hide any unpleasant surprise.
Beware, however, of the work undertaken: make sure to respect classic tastes rather than your personal tastes in order to facilitate the resale.
The division of a property: the advantages
Another way to make a profit is to buy a large property in order to divide it into several dwellings. The advantages:
- By dividing its property, the seller will have the advantage to sell his property at a more expensive and faster. Unquestionably, it is easier to find two buyers for two affordable goods, rather than one on a higher budget.
- The operation is particularly interesting in urban areas, where building land and housing are becoming increasingly rare.
By following the advice above, you will increase your chances of realising an additional profit during the resale of your house.
Good luck!
