PORT STEPHENS – THE DUPLEX DREAM
Port Stephens appeals to holidaymakers, retirees and investors – making it an ideal location for investors to build low maintenance and land efficient designs.
Whenever an investor builds a duplex they are effectively increasing the land’s equity with relatively low financial risk – making it a very appealing option for both experienced investors and first-time investors alike. So when an investment builder has the financial requirements in place for a duplex project and a quality builder on board, the success of such a project will often come down to the chosen location.
Conducting independent research into the strength of the chosen market(s) is highly advisable to ensure your investment has a good chance of being profitable. Coastal locations, which also boast great facilities, are almost always a sound investment – and with Port Stephens this is most definitely the case. According to an article featured in the Newcastle Herald, Port Stephens showed a large growth rate of 9.6% in 2014 – one the regions largest.
Duplex builds are appealing to a wide variety of potential buyers and renters, however a particularly active market for duplexes in Port Stephens is the retirement sector. Retirees are drawn to duplexes because many want to downsize from their current large family home, but aren’t prepared to move into one of the many retirement homes or over 55 villages located in the area. Duplexes are also typically a sound investment as they offer a relatively secure return, plus there is potential to earn a rental income.
Port Stephens has real estate appeal
Astute investors are drawn to Port Stephens for a number of reasons:
- Coastal lots available and many residential developments underway.
- Property market shows strong growth of 9.6%.
- High rental demand, especially in the high season for tourists.
- Close proximity to Newcastle, Hunter Valley and Sydney.
- With Australia’s aging population, Port Stephens provides ideal facilities and lifestyle options for retirees looking to get out of their busy lives in Sydney or Newcastle.
- Newcastle Airport only 25 minutes away with daily coaches to Sydney.
Buyers and renters are drawn to Port Stephens for the lifestyle, including:
- A range of golf courses, day spas, cafes and restaurants, shopping and d’Albora Marinas.
- Cruise, boat, dive, snorkel, canoe and surf its impressive waterway (larger than Sydney Harbour!)
- Walk or hike in Tomaree National Park or 4WD in Worimi Conservation Lands.
- Well-appointed Medical Centres, community centres and a huge variety of clubs and hobby groups.
Whether you intend to rent out both, rent one and live in the other or sell both, a duplex offers a very flexible solution for potential investors wanting to build in Port Stephens. For example, people seeking a duplex may be intending to:
- Buy both properties from an investor and be owner/occupiers to secure additional rental income
- Rent a single side of a duplex.
- Build the duplex, rent one side of the duplex and live in the other side.
- Build the investment and sell both.
Duplexes for rent
Whichever style of rental you choose, you don’t need to manage the property yourself. Local property managers can take care of all of the legal requirement, paperwork and financial services. For investors choosing to rent their Port Stephens duplex, there are two main rental options:
Holiday rental – tap into the lucrative holiday rental market by turning your duplex into a holiday house. Sites such as Port Stephens Accommodation, Stayz and Home Away can give you an idea of the current properties available to rent.
Permanent rental – with this option the weekly rental income will be lower than the above option, however you will have a guaranteed income throughout the year and are most likely have less repair requirements.
Duplexes for sale
Investors have two main options when it comes to selling, either sell one or both. The chosen option generally comes down to whether the investor wants to be an owner/occupier or if they simply want to sell the entire duplex project to turn a relatively quick profit from increasing the equity of the land. Both options have the potential to return a profit, however the speed at which a profit/income is earned is vastly different. An investor wishing to determine which solution is best should talk to a reputable financial planner.
Know your duplex plan
Building to rent, sell or to live in a duplex may affect the plan you choose and how you finish the build, i.e., if you are planning to rent out the duplex it may require a more cost effective fit-out with hard wearing fixtures and minimal extras. Whereas a duplex for an investor planning to live in the property themselves may require more high quality features, such as stone bench tops, luxurious carpets etc. When calculating your financial projections it is important to include property maintenance for both properties to fully understanding of your potential return.
Valley Homes has a suite of high quality duplex plans available, which are ideal for the Port Stephens investment market. They feature single and double storey plans, open plan living, intelligent storage options and classic street appeal. Talk to the Valley Homes team of experts – they’re a great place to start gathering all of the essential information for your Port Stephens duplex project.
Previous Duplex articles featured on Valley Homes:
Duplex in Demand – read up on what is a duplex, the flexibility the type of build provides for investors and also a duplexes broad market appeal.
Duplex by Design – get some insider knowledge on what to look for when building a duplex, from selecting the right block to fine tuning the budget.