With property prices climbing and urban density increasing, dual occupancy developments have become a savvy strategy for homeowners and investors alike. The ability to build two dwellings on a single lot offers financial rewards—from rental income to increased resale value—but the process is anything but straightforward.
Navigating council regulations, securing financing, and choosing the right builder all require careful planning. At Edina Building Group, we’ve helped clients unlock their property’s full potential, including our recent project on Hampshire Rd, Glen Waverley.
Here’s how to get it right.
What is a Dual Occupancy Build?
A dual occupancy build involves constructing two dwellings on a single block of land. This can take various forms, including:
- Side-by-side duplexes – two attached homes with separate titles.
- Granny flats – a smaller dwelling built at the rear of an existing property.
- Detached dual occupancy – two freestanding homes on the same block.
The appeal? Increased rental income, improved property value, and the potential to subdivide and sell separately.
Top Advice for a Successful Dual Occupancy Build
Whether you’re building for yourself or as an investment, success comes down to smart planning. For owner-occupiers, the key is balancing lifestyle and financial benefits. You want a home that meets your needs now while also boosting long-term value. Think about privacy, functionality, and quality finishes that will stand the test of time.
For investors and developers, it’s all about return on investment. Choosing the right location is crucial—look for areas with high demand and strong growth potential. Also, working with a builder experienced in dual occupancy projects can save you from costly delays and compliance headaches. At Edina Building Group, we’ve helped many clients maximise their land’s potential with seamless dual occupancy builds.
Step 1 – Assessing Feasibility
Before you dive in, it’s crucial to assess whether your land is suitable for dual occupancy.
- Zoning and planning regulations – Every council has different rules regarding dual occupancy. We recommend engaging a town planner or builder early to check compliance.
- Land size and access – Sufficient frontage and lot size are essential to meet council requirements.
- Site conditions – Factors like slope, drainage, and existing infrastructure impact build feasibility.
Pro tip: If you’re unsure about your site’s potential, Edina Building Group can conduct a feasibility study to help.
Step 2 – Design and Planning
Once you’ve confirmed your site is suitable, it’s time to plan your build.
- Design for maximum value – A well-thought-out layout maximises space and enhances liveability.
- Sustainability considerations – Energy-efficient features can reduce long-term costs and improve resale value.
- Planning permits – Your build will need council approval. Working with experienced professionals simplifies the process.
Step 3 – Financing Your Dual Occupancy Build
Dual occupancy builds require a solid financial plan. Consider:
- Construction loans – These allow staged payments during the build.
- Budgeting for hidden costs – Site preparation, subdivision fees, and permits can add up.
- Cash flow management – If you’re renting out one or both dwellings, factor in rental income potential.
Step 4 – Obtaining Permits and Approvals
This step involves formalising your plans. Key approvals include:
- Town planning permit – Required for most dual occupancy developments.
- Building permit – Ensures your design meets construction standards.
- Subdivision approval – If you plan to sell the dwellings separately, this is essential.
Navigating these approvals can be complex, but our team at Edina Building Group has extensive experience managing the process efficiently.
Step 5 – Choosing the Right Builder
A dual occupancy build is a significant investment, so selecting the right builder is crucial. Look for:
- Expertise in dual occupancy projects – Not all builders have experience with the complexities of these builds.
- Transparent pricing – A detailed quote helps avoid budget blowouts.
- Strong portfolio and reviews – Check previous projects to assess quality.
At Edina Building Group, we specialise in dual occupancy builds that blend style, functionality, and long-term value.
Step 6 – Construction Phase
This is where your project comes to life. The key stages include:
- Site preparation – Clearing the land and setting foundations.
- Structural build – Framing, roofing, and external finishes.
- Interior fit-out – Plumbing, electrical, and final finishes.
- Final inspections and handover – Ensuring compliance before occupancy.
Throughout this phase, regular site visits and progress reports keep everything on track.
Step 7 – Subdivision and Titles (If Applicable)
If you plan to sell one or both dwellings separately, a subdivision process is necessary. This involves:
- Surveying and registering new titles
- Lodging documentation with council
- Ensuring separate utility connections
This step can take time, so it’s worth planning for it early.
Step 8 – Maximising Your Investment (Selling vs Renting)
For Owner-Occupiers:
- Live in one home while renting out the other for extra income.
- Choose a layout that suits both lifestyle and future growth.
For Investors and Developers:
- Decide whether to sell both dwellings or hold onto them as rental properties.
- Consider tax implications and capital gains strategies.
- Target the right tenants for long-term rental success.
Biggest Mistakes (and How to Avoid Them)
Even the best-planned projects can hit roadblocks. Here are the biggest mistakes people make—and how you can avoid them.
For Owner-Occupiers:
- Not considering future needs: What works for you now might not suit your lifestyle in five or ten years. Design with flexibility in mind.
- Underestimating costs: Hidden expenses like site preparation, permits, and utility connections can add up fast. Work with a builder who provides a detailed breakdown of costs.
For Investors and Developers:
- Choosing the wrong location: A great design won’t compensate for a poor location. Research rental demand, capital growth, and local council regulations before committing.
- Not understanding zoning laws: Some councils have strict dual occupancy rules that can limit your options. Always check planning regulations upfront.
- Trying to cut costs on quality: Cheap materials and finishes might save money now but could hurt resale or rental value in the long run.
Final Thoughts – Is a Dual Occupancy Build Right for You?
Dual occupancy developments offer incredible financial and lifestyle benefits, but they require careful planning. By partnering with experts like Edina Building Group, you can navigate the process smoothly and achieve a successful outcome.
Ready to explore your options? Get in touch with our team today to discuss your dual occupancy project!
