Pro's and Con's of owning a whole duplex block.

[L and P]

Could I please pick your brains

My partner and I are considering buying our second IP and have heard of a duplex block (not sure if that is the correct term, sorry)being readied to come onto the market.
I believe it will be in our price range but we are a bit unsure about the main things we should be thinking of. I would like to have it all sorted in my head ready to strike

Obviously there is no body corporate, so apart from factoring into our budget ongoing maintenance costs what else should we be thinking of.

Thanks

 

[Sheryn]

Find out if duplex is strataed or not?

IMHO
If strataed you pay 2 lots of rates (1 for each unit)
A strataed duplex is worth more than an unstrataed duplex ( as easier to sell as costs less)
Definite advantage to own both units and control body corporate

Unstrataed duplex may potential be worth more to you as you can strata at a later date and sell off individually.

 

[L and P]

Thanks Sheyn.

No they are not strata'd. I guess then the best thing to do is to cost out and investigate that potential.

Thanks again.

L

 

[joanmc]

Hi check out the roof space if you can as to strata there needs to be a fire wall between the two units that goes right through the ceiling cavity. This is what I have been told as we are planning to strata our duplex when we want to sell it. Our solicitor quoted costs as being around 5000 all up.

 

[markp]

Our 2nd IP was a duplex block of 4. Years later we added a fire wall between each duplex. Then we strataed and sold each duplex for twice the original price of the whole block. It was a great deal and the vendor who had built the block left in 70% on 1st mortgage. Mind you we had to borrow money for groceries that week. Good luck with this one.