Can an investor make a good return from this Spennymoor new build home?

I've been keeping an eye in the Spennymoor housing market this week and this property started me thinking.

Whitworth Road, Spennymoor, DL16 7QF

http://www.rightmove.co.uk/new-homes-for-sale/property-55510805.html

And what it got me thinking was can a new build be an investable property? The reason I ask this is because there's often a premium to be paid for new build. The developers have prices higher than a resale property but offer incentives such as legal fees paid, stamp duty paid, white goods and carpets. So for the investor, a new build property is usually avoided.

This property is on Whitworth Road and has an asking price of £169,995, which is a lot of money for a 3 bedroom property in Spennymoor. The selling agent describes it as-

A flexible THREE BEDROOM DETACHED HOME featuring a beautiful OPEN-PLAN KITCHEN and DINING AREA with a GLAZED BAY leading to the REAR GARDEN.

With a new build there's a guarantee and the place should be totally ready to move in to for your tenants. The photographs look great, but the show homes always do.

In terms of rental potential, tenants will probably be queued up for the prospect of renting this property, as long as the price is right. I think that this property would command a monthly rental figure of between £475 and £575 per month. Based in the asking price, this equates to a gross rental return of between 3.3% and 4%. It's an okay return but may not be what the seasoned investor is looking for.

Can a new build provide a good rental return? Maybe, but probably this one will go to a owner occupier.