Have you ever wondered what it would be like to have multiple streams of income from a single property?
Have you considered what it would be like to build properties that are positively geared from the moment you finish construction?
For those of you looking to add cash flow to your property portfolio dual occupancy properties may be for you.
These properties offer savvy investors relatively low risk opportunities to dip their toes into property development or add value to an existing dwelling.
A dual occupancy property is any property that provides an investor with multiple sources of income.
Dual occupancy properties come in a number of forms including:
- A duplex
- A second dwelling
- Two free standing dwellings
- A granny flat
In its simplest terms a duplex is two attached villas / units. A duplex is the equivalent of building one large house and splitting it in half, with each of the halves being completely self-contained.
A second dwelling, as the name suggests, occurs when you build a second dwelling behind or next to an existing house.
An extremely common form of dual occupancy in inner city and suburban areas is to build two freestanding dwellings. A common example of this is when an investor finds a corner block and splits it in two. Generally an investor will either renovate the existing house and build a second property, or knockdown the existing house and build two new properties.
While a granny flat may not be considered a traditional form of dual occupancy they offer investors the opportunity to increase their rental yield at a relatively low cost.
Dual occupancy properties come in a number of forms and offer savvy property investors the opportunity to increase their rental yield, serviceability and make immediate equity.
As the demand for housing continues to grow in Australia and access to quality land continue to decline we will see the rise of the dual occupancy property.