An investment into real estate is intended to be a way to make money, allowing the building owner to bring in funds through rent or sales.
For those who want to rent out a home, a duplex provides the opportunity to live in one unit and collect rent from the other or collect rent from both units for a maximum return on the investment.
To do this, though, there are a few things to consider before building that will help to ensure a greater return on investment from the duplex.
The journey to real estate investments should begin with choosing one of the Duplex builders Sydney to handle the construction.
Take the time to choose the right builder, ensuring you pick one that will do a fantastic job and ensure the resulting home meets all of your specifications. Look through the homes they have built, how many duplexes they have constructed, reviews from previous customers, and more.
Take the time to talk to a few builders to learn how they can bring your vision to life.
It’s crucial to make sure you’re building in the right location if you’d like to get the biggest return possible on the investment. Sydney duplex builders may have suggestions if you don’t have a location already chosen, but it is a good idea to research on your own, too.
Take the time to check out suburbs in Sydney like Fairfield, Epping, and other areas across Western Sydney to see if they would be a good place to build.
When you’re looking for a place to build, keep in mind the current state of the area, the expected growth in the near future and over a longer period, the cost to build in the area, and other details.
If you’re looking to get a higher return on the investment, look for areas that have low crime, high walkability, more amenities for residents, and other benefits.
Before talking with dual occupancy builders about what you’re looking for, make sure you have a budget in mind. Consider the location where you’ll build, as the cost of land can impact what you will spend to build the duplex, as well as what work may be needed before the land is usable.
Have an idea of how much you want to spend on the build, too, so you make sure you don’t end up spending too much money.
The cost to build a duplex can vary significantly based on the size of the building, the materials used inside of it, the complexity of the design, and more.
Once you have a budget in mind, speak with the builder to determine what can be done within the budget and how the budget may impact the design.
Working with them can help you narrow down the exact budget for the project and make sure you’re considering everything that may impact the project's cost.
If there is room in the budget, consider upgrades to the design.
During the Duplex construction, you may opt for more modern plans for the kitchen and bathroom layouts, adding upgraded countertops for a better look, or adding various features that may make the duplex more desirable when you’re ready to rent or sell it.
By upgrading now, it’s easier to save money in the long run and ensure the duplex has everything potential tenants or buyers will want.
Have a plan in place to determine what you’re going to do with the duplex once it’s built.
It may be possible to sell it within a short timeframe and make a significant amount of money on the sale, especially if prices for homes increase within the period you own it or if the area is becoming a more desirable place to live.
If you do decide to keep it for at least a few years before selling, you’ll want to look into renting one or two of the units.
If you decide to rent, consider whether you’re going to live in one of the units or if you’d like to rent them both.
Living in one can help you save money on personal expenses, but renting both of the units means you’ll have more money coming in from the property. You’ll need to decide which option makes sense for your personal situation, budget, and goals.
Building a duplex is a great way to create or expand a real estate portfolio and there are ways to help increase the return you receive from the investment.
Take time to consider the information here before speaking to new home duplex builders to make sure you know how to make the most of your investment and get the return you desire.
If you are looking to build a duplex in Sydney but don't know where to start, get in touch with our team today at Kobo Projects. We can be your trusted partners in the journey to your new duplex home!
Kobo Projects are one of the leading residential and commercial builders in Sydney, taking immense pride in our approachability, quality craftmanship, eye for precision, and client focused approach to building. You can trust Kobo to build your dream.
