Please note - Due to the holiday season, builders and developers may be slower than usual in responding to any queries Close

Choosing Dual Occupancy for Your New House Build

Building a dual occupancy property has advantages for people at all stages of the real estate cycle. Not only are they fantastic as investments, but more and more people are also choosing dual occupancy as a way of offsetting their mortgage and getting into the property market.

There are a number of different dual occupancy development styles, from a tandem arrangement where an existing house is retained and a new house is placed behind it on the same land, to custom built dual-occ designs that are specifically developed to make the most of this situation for the residents of both dwellings as well as the property owner.

From an investment point of view, duplex can result in higher rental returns without the expense of buying additional land.  They are cost effective, being built for a far lower cost than two separate constructions on separate blocks of land.

Dual occupancy properties reduce risk and increase your serviceability from the banks perspective as well. If one tenant decides to leave, you still have rental income coming in from the other property to cover costs. This dual rental income gives you a greater chance of becoming cash flow positive, which then increases your ability to build your portfolio and invest in more properties. A win – win situation.

As we mentioned above, a duplex property has great advantages for those that decide to live in one half of the development. Your mortgage can be subsidised considerable by taking on tenants in the second dwelling, allowing you to offset the costs of building in a location that may otherwise be out of your price range.

Quite often a dual occupancy property is part of a knock down rebuild, where an existing older property is purchased for the purpose of being demolished and a new house being built in its place. If you decide to place a dual-occ home in this location you get the advantages of not only having a rental income to offset costs, but also the potential to make the future sale of the property much more attractive to property investors.

Dual occupancy properties are becoming very popular as new developments in Melbourne and Sydney, as land prices continue to climb and people look for new ways to break into the property market.

Dual occupancy benefits

There are other advantages when looking at dual occupancy property including:

Equity development

Building a dual-occ investment property, when done correctly allows the property to be strata titles. This allows it to be valued as two separate units, which allows them to be sold separately, creating instant equity from the growth in the original properties value.

Stamp duty

Stamp duty is quite often a significant cost when purchasing a new property. Building a new dual occupancy property saves on stamp duty, as you only pay for the land, with no stamp duty on the property you build.

Tax benefits

There are a number of tax deductions with duplex homes, which put investors at an advantage.

Minimal outgoings

There are two dwellings on the property, but there is only one rates bill, and no body corporate fees like strata title investments.

Second dwelling for elderly parents

If circumstances change and you need to look after a parent or relative, living in a dual occupancy home gives you the choice to bring them closer to home without needing to create a granny flat or divide up a portion of your existing home.

A duplex home, while not generally the first consideration for new home builders, should definitely be placed in the mix for consideration for both home owners and investors. There are some clear financial advantages to owning a “dual occ” as they are referred to in the industry with a lot of potential for future growth. Not all builders will build dual occupancy homes, however, if you head over to, you are able to filter your search to simply dual occupancy designs.

Steve Mills

Steve lives in the beautiful Dandenong Ranges and has worked with numerous home builders over the past 18 years.


iBuildNew is the market leading aggregator dedicated to residential home construction and land development. As an independent platform, iBuildNew helps Australians identify and compare new home designs, house and land packages and land estates. It’s the smart way home buyers, who are considering a new build, can find the ideal options to match their individual needs. Home building is a big decision, we make sure you get it right.

You may also like

Oct 08, 2019

How to Achieve an Energy-Efficient Home

Whether you’re building new or renovating, it's inevitable that the excitement of your ...
Read More
Apr 17, 2019

How to incorporate sustainable furniture into your home

Over the past few years, we have seen the importance of sustainability in industries su...
Read More
Jul 17, 2019

A Sustainable Garden Design Is All The Rage!

When we think of living sustainably, the colour green often comes to mind. So what bett...
Read More
Sep 13, 2017

Smart Glass: A Highly Innovative Approach to a Moder...

Modern homes come with a wide variety of features that make them more comfortable and c...
Read More
Jun 12, 2019

Sustainable Materials To Use In Your New Home Build

If you are new to the building scheme and are planning to build a house take a second t...
Read More
Jul 12, 2017

Make Your Home Eco-Friendly, Sustainable and Economical

Today, when you are searching for new house designs, most of the big companies are prou...
Read More
Feb 11, 2019

Sustainable Modifications for an Eco-Friendly Home

Making your home more environmentally friendly is much easier than we often imagine. Of...
Read More
Mar 16, 2017

Building a New Home with Sustainable Design

When innovative technology, sustainable design and inspired architecture merge, a build...
Read More
Dec 16, 2015

Building a new home? 14 Tips For An Energy Efficient...

When building a new home, incorporating energy efficient features will reduce your bill...
Read More
Oct 12, 2016

Building a New Home with Solar Energy: Pros and Cons

Thinking of building a new home with solar energy system? We take a look at how solar p...
Read More
Aug 30, 2017

Choose the perfect heating option for your new home

Australia’s climate has some wild variations, from the tropical north to the “4 seasons...
Read More
Feb 05, 2019

The immeasurable benefits of eco-friendly living

It’s a sad reality to know that pollution and global warming are rapidly increasing now...
Read More
May 14, 2018

6 Native Plants to Use in Your New Home

When considering new home landscaping ideas, native plants are great way to add life to...
Read More
May 20, 2019

Home Insulation Inspiration: Five Reasons to Wrap yo...

Stack the fireplace and flick on the slow-cooker, Australian winter is fast descending ...
Read More
May 24, 2019

Journey to a Sustainable Home Through Passive Design

In the real estate world, the only thing trendier than stone benchtops and a heated jac...
Read More
Jun 24, 2020

Designing With House Plants That Will Improve Air Qu...

Indoor plants serve well as botanical decor for your home, a way to brighten a space an...
Read More
Feb 04, 2020

Building A New Home? Make It Sustainable!

If you’re thinking of building a new home, there are many reasons why you should make i...
Read More
May 19, 2016

Passive Heating & Cooling Hacks for Building a ...

One of the perks of building a new home is that you can incorporate energy efficient ma...
Read More
Sep 30, 2020

How To: Achieve An Eco-Friendly Home

Going green by building an eco-friendly home not only helps the environment but can als...
Read More
Jun 24, 2018

How To Build An Eco-Friendly House Design

Eco-friendly house designs or green home designs have really taken off within the past ...
Read More
Apr 01, 2019

Indoor plants don’t just look good – the...

Lately, when you browse through Instagram, Pinterest or interior design blogs, plant-sc...
Read More

Get more from

Browse New Home Designs