1. INCREASED FUNDS FOR YOUR MORTGAGE
Do you want help with your mortgage? If so, you should consider investing in a duplex built by Degraff Construction.
A duplex can create equity quickly, however, this will vary from situation to situation.
A duplex can generate a high rate of return. For instance, you can rent out each home for $350-$400 a week and achieve a high return of 6.1% to 7% per annum. You could also consider renting out just one side of the duplex to a tenant while you live in the other and you’ll still achieve an ongoing high-interest return.
The extra income you earn from selling or renting out the duplex can be used to pay off your mortgage quicker.
2. KEEP ELDERLY FAMILY MEMBERS CLOSE
With a duplex, you can live in one home and have elderly relatives live in the other. If your aging parents or grandparents live right next to you, you can quickly go to them and give them the care and support they need. This is especially important if they have health issues. You can help each other out with cooking, chores, and providing much-needed company.
What’s more, elderly relatives who live next door can avoid or delay having to go to a retirement village or nursing home. It’s also more affordable than paying for another house, unit, or retirement village, allowing them to save some money.
On the other hand, if you’ve got young children and don’t have the time to always take care of them or you can’t afford to pay for childcare, having grandparents live close by is helpful. They can provide unpaid care for your children while you work, shop, or go out for entertainment. They can also be a good company for your children.
3. IT’S A GOOD INTRODUCTION TO THE PROPERTY GAME
Fancy being a landlord? You can get started by building a duplex, living on one side, and renting out the other. You’ll learn about landlord-tenant laws in your state, customizing a lease, collecting rent, and screening potential tenants. Plus, if you live next to your rental property you can see it every day, check for any repairs that need to be made, and ensure your tenants behave properly.
On the other hand, you can rent out both sides of the duplex and pick up two income revenues. The rental return rate can make for positive cash flow from the start.
What’s more, the potential to have no strata title structure means you can reduce holding costs and increase your rental return, as well as gain more control over the expenditure of both homes.
4. INCREASE YOUR REVENUE WITH AIRBNB
You can earn more money renting out one or both of your dwellings through AirBnB (a vacation rental site) than if you rented it out on a traditional one-year lease. This is because you can charge more for vacation rentals, which are short-term stays. People are also willing to pay more for a shorter stay than for a longer stay. You can expect to earn about double what you would’ve made with a standard lease.
So if you need extra income, AirBnB provides self-regulating (through guest and host reviews), a free-market solution for collecting short-term market-rate rents. Simply post an ad on Airbnb (include quality photos and lots of details) and when you find a tenant, they’ll pay you, the host, for accommodation.
If the duplex is furnished well and situated close to all local amenities, you can rent it out for a high price per night or week. You can also rent out individual rooms or a spare room in the home you live in for a lower price. To ensure you get bookings, however, your prices shouldn’t be higher than other AirBnB duplexes.
Plus an added bonus of building a duplex with Degraff Construction is that you’ll get to work with our fantastic team!