Duplex foreclosures offer varied potentials to investors. There are savings to be realized. There is instant equity. More importantly, there is the golden opportunity to earn profit which may be sufficient to cover the monthly mortgage.
Duplexes are structures that are built with two housing units sharing one roof. These housing units are typically divided by level with one on top of the other. These units share the same main door and grounds. Investors in duplex foreclosures usually use the top level as their main residence and rent out the first level or vice versa.
Buying Duplex Foreclosures
Foreclosed duplexes are no different from any other type of foreclosure homes. They are sold in the same way through foreclosure listings. But these homes have the advantage of versatility. Other than renting out one unit, buyers of these types of structures can likewise convert the unit into a work space or a commercial space depending on the zoning laws in the area where it is built.
Since these homes are no different from other foreclosures. Buyers should expect to put in the same level of research and due diligence checks as they would for other types of foreclosed properties. Home inspection is still a necessity as well as title search.
Before deciding to purchase duplex foreclosures it may be a good idea to establish one's purposes. If a buyer wishes to convert one or both of the units as a rental property he has to make sure that the demand for rental homes is high. Duplexes that are located in mixed residential and commercial zones are ideal for small stores. Finally a duplex can provide a considerable amount of space should the owner decide to convert it into a single-unit home.