Duplex or 2 detached houses

Discussion in 'Investment Strategy' started by MIana, 22nd Apr, 2020.

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Which option you think is better for a block of land 21.5m x 33.5m

  1. Build a duplex (2 side by side townhouses)

    0 vote(s)
    0.0%
  2. Build 2 detached houses

    8 vote(s)
    80.0%
  3. Subdivide the land, sell 1 half and build a house on the other half

    2 vote(s)
    20.0%
  1. MIana

    MIana Member

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    Hi all,

    I have a block of land with dimension 21.5 x 33.5 and consider a development. My plan is to live in one and sell the other or may consider keeping it as an IP. I've never developed before and just started gathering some ideas. Which option do you think will be better in term of cost and return on investment.

    A. Build a duplex (2 side by side townhouses)
    B. Build 2 detached houses
    C. Subdivide the land, sell 1 half and build a house on the other half

    I'm not really sure option B & C is possible or not as the width of each lot is around 10.5m

    Thanks,
     
  2. Archaon

    Archaon Well-Known Member

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    whats the minimum lot size?

    350m2 is plenty to fit a 3x2x1, maybe even double garage depending on DCP/LEP
     
    Last edited: 23rd Apr, 2020
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  3. gach2

    gach2 Well-Known Member

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    Have you seen most new estates?

    The lot size you have is around what 2 lots have (especially the width)
    Most project builders would have designs to suit detached housing - just need to make sure planning laws allow it
     
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  4. MIana

    MIana Member

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    I'm in VIC, City of Monash, and have seen many duplex developments around, but the block size is quite standard with the width ranging from ~16 to 19. I haven't seen any development on blocks have similar frontage as mine, so I'm not sure if it is feasible to subdivide to 2 lots and build 2 detached houses.

    I prefer a detached house as it's stand-alone, but with duplex, you can reduce the building cost as the houses share a wall. Since I want to sell one of them, I need to investigate which option has a higher return and easier to sell.
     
  5. Rugrat

    Rugrat Well-Known Member

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    You need to have a look around the neighborhood. Even though you can subdivide, you may not find great demand for such small blocks, if all the neighborhood is filled with much bigger ones. If on the other hand there are plenty of smaller blocks around too, then it may not matter as much.
     
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  6. MIana

    MIana Member

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    There's many subdivisions around my area but most of them are front and back and some duplex. My block has a wide frontage of 21m, so I'm trying to work out a more creative solution, that's why I'm thinking of building 2 detached house but not sure if the sale value can out weight the building cost
     
  7. Archaon

    Archaon Well-Known Member

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    You could search sold listings in your area and set the max land size to 400m2, see if any have been done.
     
  8. MIana

    MIana Member

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    thanks for your recommendation. I found some similar blocks around my area and all of them are duplex, none of them built 2 detached houses
     
  9. Archaon

    Archaon Well-Known Member

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    If a Subdivision was completed then the land size would be around the 300-400m2 mark, single dwelling.
     
  10. gach2

    gach2 Well-Known Member

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    City of Monash?
    Not 100% sure of the rules and exact suburb and demographics

    Have you considered a triplex? Or is that more than you want to do

    If Just 2 houses you definitely have the width so detached> attached personally
     
  11. gach2

    gach2 Well-Known Member

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    Since you new and no experience consider approaching a town planner
    @Tufan Chakir 's firm seems to be one of the more recognised ones for the area on these forums (wasn't able to use his services due to COVID19 but will in the future)

    You should also consult your finances to see whats possible and also check the local area for comparable
     
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  12. MIana

    MIana Member

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    @gach2 by triplex, do you mean 2 in front and 1 at the back? I thought about it but not sure if the length 33.5 is enough.
     
  13. Tufan Chakir

    Tufan Chakir Well-Known Member

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    My 2 cents - duplex vs free standing....the market is not so small as to make one try to guess what will sell. If there are examples of both in the area, both work. It will come down to personal preference of the purchaser.
    A quiet, private house at the back of the block (or keep that one), a fairly conventional house at the front, or side by side - long and narrow. And sorry, i don't care how good the soundproofing is, when 20 something tenant is playing duff duff at 1am the neighbour is going to hear ir.
    Duplex - don't go for minimum wall standard. Separate the walls so they are totally independent, beef up sound insulation.
    Get some good advice, look at the options, don't make decisions purely on the maths - it doesn't work that way. Get quality advice, after all these initial decisions will feed into the project, so make those decisions important and count
     
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  14. gach2

    gach2 Well-Known Member

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    I meant 3 attached in the front - each around 7m wide (assuming zero lot is allowed on both sides)
     
  15. MIana

    MIana Member

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    @Tufan Chakir How much will the separate wall cost more than the single wall?
     
  16. MIana

    MIana Member

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    oh, I'm not sure what can be built with 7m frontage, haven't seen anything similar around the area, and not sure if the planing scheme allows us to do it. And also, there're 2 trees on the natural strips which will be an obstacle for opening new crossover
     
  17. gach2

    gach2 Well-Known Member

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    Its definitely possibly - even 5 is though it depends on the market - as for regulations if your not experienced a t/p would be the one to assess it. You haven't even mentioned suburb so cant really make any recommendations

    2 would probably be the simplest/cleanest development you could do - hit up a few big builders and they can get you ballpark figures out and maybe get a t/p to assist them