When you are looking to buy your first home, and make a smart property investment at the same time, a dual occupancy residence might be an alternative that you should consider strongly. However, you and your family will share the property with another person or people, which might make you wonder – what are the pros and cons of choosing a dual occupancy dwelling?
If you are searching for an answer to this question, you might find this article to be quite helpful! The article below is going to feature a list of the advantages and disadvantages you can gain from choosing this housing option, but, before we take a look at that, let’s first look at what these homes are exactly:
Dual Occupancy Houses: Explained
To put it simply, a dual occupancy house refers to a property that has one building on it. However, the building is divided into two living spaces, usually with two private entrances. The outdoor area can be shared as well, but, most people choose to divide that as well.
This means that you and your family members will share the same house with another family while having your own apartment at the same time. For example, Australia has an aging population, and these housing alternatives are becoming increasingly popular, especially since it is cheaper. But, besides being cheaper, what are the other advantages?
Naturally, there is a wide range of advantages that you can gain from investing in this property type, including:
1 You’ll Need to Pay a Single Strata Charge
The very first advantage – and perhaps the most significant point – is that you’ll only need to pay 1 strata payment. You are basically buying 2 properties (houses) for the cost of one, which is why it might be more affordable for you to choose this. This is especially useful for people who purchase their first residence since they can generate an income from it as well.
2. There Are Opportunities For Generating a Revenue
Since you’ll be able to obtain 2 residences under one name, there are several things that you can do, ones that will generate revenue for you. First, you can choose to lease both of the premises at the same time and the second, you can choose to move into one residence and rent the other one.
3. Perfect For Any Location
Let’s take aforementioned Australia as an example. Besides facing an aging population, a lot of people are looking for affordable housing after losing their houses in the fires that happened during 2019 and 2020. Hence, a lot of people are choosing nice, serene locations such as farms for building these double residences.
Next, they can choose to share the building expenses with the people who will be occupying the other residence or they can build it by themselves and rent it out to someone else. If you are interested in seeing what professional building services you can opt for, visit silverlinehomes.com.au for additional information.
4. The Maintenance Expenses Are Low
These estates usually come with low maintenance expenses and people living on the estate may only have to pay 1 set of bills since they are on a single estate. If the estate is small, you’ll not have to worry about keeping your garden in shape and if you purchase or build a new home, the appliances are probably going to last you longer.
5. A Perfect Resolution For Students
One of the biggest problems students face is the height of the rent, which is why they might want to opt for double houses. As mentioned, these houses come with low maintenance expenses, hence, it might perfectly fit a student’s lifestyle. Additionally, they can choose to rent one part with their friends, which will lower the costs even further.
6. Amazing For Elderly Couples
Just like students, this housing option is perfect for elderly people as well. Besides the low costs associated with having a dual residence, they can also create a flawless yard for themselves. This means that they can plant vegetables and fruits and they can maintain their garden – which are the favorite hobbies of a lot of elderly people.
Besides some incredible advantages that you can gain, there are also some disadvantages that are worth mentioning, including:
1. Less Privacy
You will be sharing a wall and in some situations a yard with other people, which is why you might have a bit less privacy than you are used to. You’ll basically be living in the same place, hence, you might also need to pay attention to how loud you play your music or the number of people you invite over.
2. You Cannot Sell it As Two Houses
Whether you are planning on building or buying the property, you should know that you won’t be able to sell it individually. They’ll need to be sold together. But, people did find a way around this obstacle. A lot of them chose to convert the two living areas into one, which allows them to sell the house as one property.
So, if you choose to purchase or build a dual occupancy home, if you choose to sell it, you can do so by using the method above. Of course, this will make the entire property larger, hence, you can actually sell it for more money. Additionally, do not forget to keep that yard tidy – this can raise the price of the entire estate as well.
As you can see, there is a wide range of benefits, as well as some drawbacks to purchasing or building a dual home. Of course, your choice will depend on your needs and preferences, hence, before making your final decision, think long and hard whether or not this is the best solution for you.
So, now that you know what pros you can gain and what cons you might want to avoid this housing option, do not lose any more time. Instead, start weighing all the things mentioned in the article above, talk to your family, and determine if this option might be best for you.