Dual-Key / Twin-Key Dwelling Examples

Hi guys,

I am doing a bit of research on dual-key dwellings and was hoping to build up a collection of examples (floor plans, renders and photos) of the sort of stuff that is being built and what is possible.

Does anyone know of any builders who are playing this space (who have examples online or are happy to provide some) or of any DA's that have recently been approved or built projects that can be photographed?

I'm thinking of applying this in WA but happy for examples to be from anywhere.

 

By 'dual key' do you mean two houses on one block? Called 'dual occ' in some places

 

Or "cash cows" in others.

 

For those who are new to the concept, a dual-key / twin-key dwelling is (by my definition) is a dual-occupancy dwelling where you have two separately rentable dwellings under one roof, on one title. They can be with or without shared facilities (sometimes as little as an entrance landing, sometimes as much as lounge rooms). Typically they are adaptable designs that can start our their life as two separate self-contained dwellings and then be converted into one larger dwelling by knocking down a wall, etc (or visa versa).

They are favoured by (some) investors for their ability to deliver two incomes on the one lot.

 

To my mind a dual-key dwelling is always a dual-occupancy dwelling, however a dual-occupancy dwelling is only considered a dual-key when it is physically attached/'under one roof'. Or at least that is my perception - happy for others to disagree.

 

Example dual-key dwelling:

 

Also full disclosure: whilst I have spent a bit of time thinking about dual-key developments as part of my own investment strategy, this little push for more knowledge right now is for work, as I am looking to discuss some 'innovative' lot types with a (developer) client.

 

South East QLD has been getting smashed with them for at least the last 3 years in new build estates. Cheaper option than a full duplex, but can't Strata Title. In my area new estates are limiting dual occs to 2 per street as they are becoming that prolific. Great for cashflow.

 

I did not know of any WA builders doing this but apparently there are! This website has 9 examples of dual key. There is even a double dual.

Designs

The double dual is a duplex lot with a dual key on both lots. I know where there is a block for sale where you can do this in Perth, but there is an oversupply of 2x1 apartments in the area, so I doubt it would be worthwhile.

 

Oakford Homes in Adelaide does dual key as well, just filter by collection: Gemini. I really don't think these would be acceptable to a Perth market though.

Standard Homes – Oakford Homes

Looking through them, maybe Sturt would work in Perth?

Sturt – Oakford Homes

Ha! Check out Windsor. That is just like our old duplexes.

Windsor – Oakford Homes

 

I had no idea this was even a thing. But Now Living are doing Dual Key house and land packages:

Dual Key House and Land Packages Perth | Now Living

Dual key floorplan example 2 could be converted back to a family home too.

MyGen homes has another 4 examples:-

Mortgage Helper Homes Range - mygen homes

 

I think Now Living does them in Perth. Have to be careful as lots of lenders aren't too keen on duel key, and vals can come in low.

 

I've done a fair few before. Anyone SHOULD be able to do them but most won't know where to start.

There's even this one on display in Perth.

 

Interesting. Yeah I had heard that QLD had been doing them for awhile. I had no idea they were that popular though! All investors do you know or some families looking for flexibility?

Do you happen to know of any estates/examples off the top of your head @Sonamic ?

 

They look more like a house & attached granny flat, if you built this would you be better off with a 3br duplex?

 

Yeah I've heard that lenders aren't keen on them. Mirrors my own concerns about potential slower capital growth compared to single dwellings. But then I guess most investors look at them as an income play.

Coincidentally I read this in a Matusik Missive newsletter this morning:

...Just start reading the Australia Banking and Finance Industry Residential Valuation Standing Instructions... In a nutshell [edited]:.. NRAS compliance got a bit more tricky and dual-key units got placed on the valuation risk alert register...
(full newsletter link here)

I'm not sure if that only refers to NRAS dual-keys or all, but either way is says something about how safe an investment they are seen to be.

 

Nice, thanks Lyndon. Any more details on this display home? I'd go and check it out this weekend if it wasn't a write off of attending-and-then-recovering-from a rather large bux party!...

 

They are just difficult to value as there tends not to be many comparable sales, and add to that the fact the the market is limited for them - investors only, and only some investors at that, which means they can be hard to sell.

 

I don't get why you would want to have the dwellings attached - if you're wanting two rentals, its way better to have them completely detached imo.

 

I went through one under construction with a builder on the weekend that was a single mum in the 3/2/1 and her 80 year old dad was going in the other side in the 2/1/1. Predominantly they are Investor stock though.

I signed contract on one in Ipswich last year. Advertised as a 3/2/1 main with a 2/2/1 unit. Unfortunately they changed the laws in that area and your "Auxiliary Unit" can now be no more than 50sqm. DD revealed the vendor had surrendered the pre law change DA for a $500 refund with Council 3 days prior to my signing. Luckily after 3 months of hassle I was able to terminate. A pity as the yield was quite attractive.

There are plenty being built on the Sunshine Coast as they're trying to increase density to contain sprawl. Dual occs, terrace homes, Fonzi units. Check out the new Stockland development "Aura". All this is happening there. Rapidly. Up to Stage 31 land release in sales and only last week has the first slab gone down in Stage 1 release.