Q. What sort of rental return would an investor achieve with a dual occupancy house?
As a guide an investor would achieve anywhere from 6.5% to 7.5% gross rental yield for a typical dual occupancy home. For example a 3 bed, 2 bath, 1 car home can achieve $360-$370 per week and a 2 bed, 1 bath, 1 car home can achieve $320 per week which means a $500,000 dual occupancy home can return $680- $690 per week which is a 7.1% gross rental return.
Q. What are the typical gross rental returns for various residential investment options in Brisbane?
Traditional detached house - 3% - 5%
Apartment - 4% - 6%
Townhouse or Duplex - 4.5% - 6%
Dual Occupancy - 5%- 7%
Q. Why do dual occupancy homes provide the highest rental return?
A. In simple terms, dual occupancy homes only cost a bit more than a single occupancy home because of the extra fixtures and fitting but will provide
Q. What is the difference between a dual occupancy and a duplex
A. A dual occupancy is similar in some ways to a duplex as there are two homes on the one block. The main difference is a duplex can be strata titled and each dwelling can be sold separately however additional costs are involved with infrastructure charges and additional approvals are required. You may find dual occupancy's have slightly lower price point which in turn makes them a more desirable investment.
How do dual occupancy homes obtain the required building approval?
All dual occupancy houses that are sold have all been approved by council and are built according to the local building regulations and standards. There is no rezoning required or special development applications needed.
Can you help me find a block of land?
A. Yes, if you have an area in mind or want something closer to home we can help you find the best available block of land to suit your requirements and budget. We believe we already have the best land available that will provide the best rental yield.
Do dual occupancy homes require a "fire wall" between the dwellings?
Yes. The building code of Australia states for a dual dwelling to be compliant a fire wall is a legal requirement. The common wall is fire-rated with highly dense material which not only protects you from fire, heat and fumes but provide acoustic insulation between the two dwellings.
What is the buying process for a house & land contract for a dual occupancy?
Typically there are two contacts to purchase a house and land package. One is for the land and the second contract is with the builder for a dual occupancy house. This is means you can save money on stamp duty as you only pay stamp duty on the land as apposed to paying stamp duty on the total price.
Q. What if I am investing using my superannuation funds?
Typically you can only purchase an existing house when buying in a self managed super fund due to the tight restrictions around using your superannuation to invest. We have helped a number of self managed super funds build new houses and we can create more of these packages at your request.
Is a buyer required to use any particular financier, solicitor or property manager?
No, although the team at Shamrock Investment Properties will provide referrals to industry professionals there is absolutely no obligation for you to use any of these professionals if you choose not to do so.
Q. Why is it so hard to find finished dual occupancy homes for sale?
Dual occupancy homes are a fairly new concept and the demand is currently very high as it not only achieves a great yield but also suits so many different people and families.