ᐅ Duplex as a single residential unit or two "half-houses" – What should be considered?
Created on: 12 Oct 2018 11:38
R
RomeoZwo
Hello,
As part of the preliminary planning for developing a plot of land with possibly a semi-detached house as an investment, both units are initially intended for rental. One unit might be used personally later on (in 15-20 years).
I am considering whether to build them as fully separate units or as a multi-family house (WEH). Especially since I have also seen hybrid solutions offered by prefab house manufacturers. I would appreciate your opinions on my considerations...
Separate semi-detached house:
- Easier to sell individually after possible subdivision of the plot
- Better sound insulation between the two homes
- Separate technical systems for each house → redundancy and clear cost allocation
- Easier sale of "one half" in case of emergency (really?)
Multi-family house (WEH):
- Only one technical system needed (probably cheaper)
- Slightly smaller space requirement for the dividing wall
- More options for asymmetrical layouts
What do you think about these points? Are there any additional aspects to consider?
Thank you very much
As part of the preliminary planning for developing a plot of land with possibly a semi-detached house as an investment, both units are initially intended for rental. One unit might be used personally later on (in 15-20 years).
I am considering whether to build them as fully separate units or as a multi-family house (WEH). Especially since I have also seen hybrid solutions offered by prefab house manufacturers. I would appreciate your opinions on my considerations...
Separate semi-detached house:
- Easier to sell individually after possible subdivision of the plot
- Better sound insulation between the two homes
- Separate technical systems for each house → redundancy and clear cost allocation
- Easier sale of "one half" in case of emergency (really?)
Multi-family house (WEH):
- Only one technical system needed (probably cheaper)
- Slightly smaller space requirement for the dividing wall
- More options for asymmetrical layouts
What do you think about these points? Are there any additional aspects to consider?
Thank you very much
M
Mottenhausen15 Oct 2018 14:13Keeping cash on hand is not necessarily a good idea... it simply loses value every day, while real estate is currently appreciating. Well, hindsight is always 20/20, and you end up thinking... "I should have sold right away" or "I wish I hadn’t sold at all."
Or to quote a great footballer: Woulda, coulda, shoulda.
And the depreciation with V&V, the tax benefits. Or maybe stocks are better? They don’t deal with problem tenants. Whatever you do is wrong anyway, and you always know better in hindsight. So any discussion is pointless. Everyone can decide for themselves what they prefer.
It’s better to be happy that you actually get to make a choice. ;-)
And the depreciation with V&V, the tax benefits. Or maybe stocks are better? They don’t deal with problem tenants. Whatever you do is wrong anyway, and you always know better in hindsight. So any discussion is pointless. Everyone can decide for themselves what they prefer.
It’s better to be happy that you actually get to make a choice. ;-)
Wow, I really started a fundamental debate here...
But I’m not going to sell this plot of land—unless it absolutely has to be. There is a certain emotional attachment to this piece of land after all. However, I’m not in any rush. Even if it is leased out for peanuts for another 10 years, that’s not a problem.
But I’m not going to sell this plot of land—unless it absolutely has to be. There is a certain emotional attachment to this piece of land after all. However, I’m not in any rush. Even if it is leased out for peanuts for another 10 years, that’s not a problem.
RomeoZwo schrieb:
However, I’m not in a hurry. Even if it’s leased out for another 10 years for next to nothing, it’s not a problem. So, the duration mentioned earlier doesn’t refer to renting it out before you use it yourself, but rather you want to start building only after the lease runs out?
https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/
Hello,
actually, I wanted to start now because
a) my experience with (owner-occupied) house construction is still recent
b) the local authority has indicated approval for building outside the designated area
c) the land and equity are available
But there are also arguments against it, for example the currently very high construction costs and limited availability of skilled tradespeople, as well as the “problem” that potential tenants with sufficient income (but no equity) can easily build themselves at the moment.
It is also uncertain how the local authority will act in 10 years. There might be a supplementary regulation for the area, or possibly no longer any exceptional permits.
I will approach the local authority with a preliminary design to see if the concept I have in mind is considered feasible there. The authority would probably prefer a single-family house, but I think the larger (and therefore more expensive) the house, the harder it is to rent out, and with a duplex the risk of rental default would also be 50% lower.
actually, I wanted to start now because
a) my experience with (owner-occupied) house construction is still recent
b) the local authority has indicated approval for building outside the designated area
c) the land and equity are available
But there are also arguments against it, for example the currently very high construction costs and limited availability of skilled tradespeople, as well as the “problem” that potential tenants with sufficient income (but no equity) can easily build themselves at the moment.
It is also uncertain how the local authority will act in 10 years. There might be a supplementary regulation for the area, or possibly no longer any exceptional permits.
I will approach the local authority with a preliminary design to see if the concept I have in mind is considered feasible there. The authority would probably prefer a single-family house, but I think the larger (and therefore more expensive) the house, the harder it is to rent out, and with a duplex the risk of rental default would also be 50% lower.