As the price of Australian properties continue to rise, many people have expressed their interest in building duplex houses to capitalise on their real estate assets.
A duplex is a single structure that is divided into two separate residences. The two dwellings share one common wall, but each residence is independent with its own entry, driveway, garden, kitchen, bathroom, living areas, bedrooms, and other amenities that you’d expect from a freestanding house.
Here’s one duplex home design one of our Sydney-based designers have done in Earlwood NSW. The goal of this project was to build two dwellings that look like a single house.
Interested in building a duplex? Here are some of the things that you should know:
1. Duplex house plans are perfect for multiple families
When designed properly, a duplex is great for multi-generational families who like the idea of communal living but wish to have separate homes.
Imagine your parents living happily next door, knowing that their dearest grandchildren are only living a few steps away from them, and they can visit anytime and watch them while you are at work.
Imagine the joy of your kids when they can play and spend time with their cousins every day because your brother/sister’s family is your neighbour.
When you picture your family together like this, consider building a duplex in a great neighbourhood with the help of your parents or your sibling.
2. Live in one side, rent out the other
Are you interested in creating a source of passive income? Consider renting out the other house. You can use the extra money to pay off your mortgage faster. This is also great because you can easily monitor your property from next door.
3. Or, put up the entire duplex for rent
Building a duplex house is quite common in neighbourhoods surrounding colleges and universities because there’s a need for affordable temporary housing. Depending on the size of each house, three or more students can share it.
Housing and accommodation for local and international students is one of the greatest ways to earn money from your real estate investment.
Also, duplex homes are not only found in the countryside. You can build two houses on a lot in many urban settings. Duplex homes are very popular in densely populated areas where space is limited but the demand for housing increases, and often rent for a higher amount compared to apartments.
If you decide to put both properties for rent, you create two sources of income and ultimately achieve positive cash flow.
4. It is economical to build
Duplexes are economical because these require fewer building materials than building two individual structures.
Unlike building two separate homes on subdivided land, you conserve space and duplex maximise the potential of the land without additional holding fees, insurance costs, council rates, and other associated costs. You save thousands of dollars on land costs.
5. It is a great investment
Duplexes are usually valued at a higher resale price compared to homes with a granny flat or detached suite, since more people understand the benefits of owning one.
However, you have to make sure that the duplex is well-designed and well-built in the right location.
For strongest capital gains, build duplexes in places where it is an exception not the norm.
And, make sure that the front facades of both homes look similar, with uniform exterior colours.