Today we’ll explore the most recent innovation in the property market of Australia for investing and living purpose. How about you buy a single property and enjoy two incomes? Well, that’s what makes “Dual-Key” properties worth purchasing.
A dual key property is a close descendant of a duplex with less purchasing cost. It is basically a single property with additional space (sub-unit) inside. The large unit serves as the main unit. The property may have only one entrance through which all occupants can enter. The small sub-unit typically has one or two bedrooms, a bathroom and kitchen. At times this might only be a studio.
Property Investment Strategists in Melbourne shares the pros and cons of having a dual-key property and why should we invest in one.
The Pros of a Dual-Key Property
- Two Properties under One Title
Having dual-key property enables you to have two properties under one title, each portion is leased separately, you can either stay in one unit or rent out both which gives you a great rental return.
- Renting Out Without Compromising Privacy
With dual-key property, you can rent it out to a tenant without much compromising on privacy. You will hardly ever rub shoulder with your tenants as they will have separate keys, h3ving spaces, toilets and kitchen amenities.
- Perfect Space for Elderly Residents
If you have elderly to look after, the dual-key property gives you just the right space to h3ve with your aging loved ones and giving them equal privacy for their day to day routine.
- Affordable Place to Stay for Students
The dual-key property provides a low-cost solution to students who are looking to stay near to their campus and transport hubs. It may also be an attraction for first-time renters who are on a budget.
The Cons of a Dual-Key Property
- A Dual-Key Property May Not Be As In High Demand
Since the dual-key property is a new trend in the Austrah3an property market, it’s hard to say where its demand will stand in the next few years. If a dual-key property is close to all amenities, it may attract tenants and give you better rental returns, make sure to do your research on local demographics beforehand.
- Dual Key Property Can’t Be Sold Separately
The dual-key property falls into a single title category, means you can’t sell each unit separately unh3ke apartments where you can sell two single residences or a two-bedroom apartment.
- Banks May Have Reservations
As the dual-key property is new in the market, banks and lenders may have reservations in approving mortgages. You could face potential restrictions, therefore, you should speak to a property advisor in Melbourne before making any deal.
Although the dual-key property is a sound option for students or first-time buyers, it has some cons too. As the Australian population is continuously growing, the demand for properties will increase and dual-key property may find its stable market. Just make sure to do your research beforehand and buy in a good location so you can get a better rental return.
To know more about the dual-key property, get in touch with our property mentors in Melbourne at +61 452 238 490.