Imagine having two homes for the price of one, building a duplex gives you such an opportunity and building one has its advantages. A duplex is basically 2 buildings that are built on the same land which can either be joined together and separated by a wall or built in one space of land that you own. This allows you to have two homes for one land title giving your personal advantages as well as investment opportunities.
Personal Use
Having a duplex gives you the benefit of practically owning two homes which will give you an extra home for visitors or family. Your kids can stay in the other home until they decide to venture on their own or your elders can stay with you. This gives you an additional space to keep family members close to you all at in one land title. Those who stay in the other home will still have the privacy they need as well as be close to you. A duplex is a great way to accommodate family or friends that are visiting or on vacation and you can welcome them to stay at the extra home during the meantime.
High Value
The duplex may count as a single land title but based on the revenue that it can generate by being rented out for business it provides the price of two. This is due to the two homes and will be considered high in value and a property that is in demand for those who are looking for business opportunities. If the need arises that you have to sell the home, you can be sure to earn more than the price of just one home as the value increases by it simply being a duplex. This can differ at times based on the laws of the state you’re in but regardless, the value of the property is greater merely due to the capacity provided as well as the revenue that can be made.
Investment Opportunity
A duplex is an investment for several reasons not just for business but also future purposes such as relatives that plan to permanently or temporarily move in. This will save them the costs of staying somewhere else or give you the privacy of your own home while you still offer them a place to stay. A duplex is also a good investment when you plan to go into the rental business since it can generate revenue for you which will be a good supply of income aside from any other work you have and it will generate passive income when people are renting it. Since there are 2 properties, both may be rented out and from this income you can generate income which you can later on decide to invest elsewhere.
Good Starting Business
If you are not that experience when it comes to property, investment and renting out homes this would be a good start as you just need one land title and can build the duplex to start out. No matter what happens you can either use the duplex for personal use or begin business with it. From here on you can gain experience and decide if you want to pursue such a business by building more and creating a large collection to rent out as a future business.
A duplex does have its many uses and the opportunity of having two home in one place does have a lot of advantages. Whether you decide to use it for your personal use or for business it will always be there as a good benefit as it is still on the same land title that you own and this comes in handy depending on how this investment will work out for you. The good thing about building a duplex is that you end up with many choices and can make use of the extra land space instead of having an empty lot.
But What About Finance?
That’s a good question. Yes unlike constructing a normal home, not all lenders will allow finance to build a duplex or may have restrictions with the deposit requirements or charge additional fees and higher interest rates. By using a mortgage broker experienced in construction finance, you can ensure you use the right lender for building a duplex.