Dual Occupancies Explained
Types of Dual Occupancy Development
What is a Dual Occupancy?
A Dual Occupancy is the development of two dwellings on one block of land. These can be either detached where the dwellings are separate standalone buildings, attached dwellings with a common wall (often know as duplexes) or attached one above the other (stacked units).
Dual Occupancy’s are not the same as a Secondary Dwelling, or a ‘granny flat’.
Duplexes are dual occupancies divided into separate properties and can therefore be sold separately.
Advantages of Dual Occupancy Residences in Sydney
Dual occupancy residences offer a distinct chance to own or rent out two separate homes on the same plot of land. With a current housing crisis, this option is gaining popularity in Sydney due to its numerous advantages for owners, renters, and builders alike.
1. Rental Income and Investment Potential
Residing in one portion of the residence while leasing out the other can provide you with a consistent monthly supplementary income.
For investors, dual occupancy residences present an excellent opportunity for them to capitalize on rental income. By owning two dwellings on one plot of land, investors can double their rental income compared to single-dwelling properties. Similarly, if they choose to sell, building a duplex will give them two houses to sell instead of one on the same land. This makes dual occupancy homes appealing for maximizing return on investment.
2. Better Design Opportunities
Constructing a dual occupancy or duplex presents distinctive design prospects for maximizing your land's efficiency and convenience. Whether opting for side-by-side dual occupancy, front-back layouts, or two-storey duplex designs, collaborating with an architect enables you to create homes in restricted spaces and potentially enhance future selling prices.
In real estate, duplex prices and designs are interconnected. A well-designed duplex commands a higher price, especially when situated on land suitable for multiple occupancies. This is particularly advantageous for duplex designs on corner blocks, offering opportunities to optimize design and increase profits.
3. Reduced Construction Costs
From a builder's perspective, dual occupancy homes are more cost-effective than constructing two separate homes on different plots of land. Shared building costs, such as plumbing and electrical wiring, result in significant savings over time.
4. Increase in Land Value
Even as you read this, the value of your land is on the rise. Yet, constructing a duplex enables you to sell two properties of equal value in the future instead of just one. This could effectively double your profit over time, offsetting any investment made in a knockdown rebuild duplex or constructing one from the ground up.
5. Multi-Generational and Integrated Family Lifestyle.
One of the residences could be your primary dwelling, while the other accommodates your extended family. Whether it's children, grandparents, or grown kids seeking independence while staying close, each benefit from having their own space. Keeping them nearby offers peace of mind, knowing you can quickly reach them in emergencies or for urgent needs. Additionally, proximity provides security, with your family as your closest neighbours, ready to support you whenever needed.
Subdivision and Sales of Dual Occupancy Homes
Subdividing dual occupancy homes involves careful planning, simplified with the assistance of a dual occupancy home designer. Professionals can navigate zoning regulations and other requirements to ensure a desirable outcome. Dual occupancy homes can be sold together or separately, provided they meet council regulations and possess a dual occupancy approval certificate. This arrangement offers an investment opportunity for buyers seeking dual income sources.
Is it Possible to Sell Dual Occupancy Homes Separately?
Absolutely! In Sydney, dual occupancy homes can be marketed together or individually. However, certain regulations must be met, including adherence to council regulations and possession of a dual occupancy approval certificate. Despite these restrictions, dual occupancy units are viable for separate sale, offering buyers an ideal investment opportunity for dual income. It's crucial to consider local council requirements to ensure compliance with all rules and regulations. From increased rental income potential to enhanced privacy and comfort, dual occupancy construction offers numerous benefits. As Sydney's economy drives rapid population growth, these properties will become increasingly sought after, providing an attractive housing solution in Australia's largest city.
In Conclusion:
Dual occupancy residences offer various benefits, from increased rental income potential to enhanced privacy and comfort. As Sydney's population grows, driven by its expanding economy, these properties will become increasingly sought after, providing an affordable housing solution in Australia's largest city.
Hiring an Architect
Are you looking to hire an architect to build a new dual occupancy? We invite you to view our Mont Architects Portfolio of recent projects to see if our work inspires you. You can also Contact us to learn more the services we offer.