What is a dual income property?

Dual income (also called ‘dual key’ or ‘dual occupancy’) properties are an increasingly popular option for investors, primarily as they offer two rental incomes from the one property.

A dual income home is held under one land title, which means that you only pay council rates on a single block of land. You cannot divide this block of land; however, it can have separate water metres, internet connection and power.

These homes provide investors with additional benefits when compared with a traditional house. Dual income properties can be built on slightly smaller blocks of land as compared to a duplex, which can reduce land and construction costs.

Many investors use dual income properties for a cash flow positive investment strategy. The rental yields offered by a dual income are attractive, with ongoing housing demand, these properties can generate excellent rental returns and a stronger yield performance.

Dual income properties meet the market need for flexible housing and attract a more diverse range of tenants than single income properties, minimising the risk of having extended tenant vacancy periods. For example, a dual income property with a 4-bedroom plus a 2-bedroom dwelling could attract families as well as couples or singles. These homes also cater to multi-generational family living needs.

‍