Rental Property Investor · NH · Member since 2013 · 111 posts · 28 votes
12y
I own two condexes, separate structures in separate towns, ie I have two different co-owners. I love it for many reasons! Sure a lot could go wrong if you have a deadbeat co owner but I vet them as part of my due diligence. Also, you get to work out deals with them like they may have no problem doing the landscaping but you pick up their half on the snow plow bill. Also note that you split your risk. That roof bill gets divided by two, course you could end up with a weirdo roof like one poster mentioned above where there are two different roofs because you couldn't agree with your co owner on when to get it repaired. If you structure your HOA correctly you can actually force them to pay you condo fees of they do not pay their share or you could foreclose on them.
Now as for the money? My recent unit I bought in oct has a far better cap rate and cash on cash return than if I bought a duplex and owned and rented both sides. I think it is an imbalance caused by the crisis. Lots of first time homebuyers bought condexes at the peak and they are losing them like its going out of style and they represent exceptional values IMO. I'm glad everyone hates them!! I would buy them all if I could. A duplex in my area costs 225-250k. You can get better condexes for 85-90k... it's amazing.
Real Estate Investor · Desoto, TX · Member since 2013 · 560 posts · 528 votes
12y
Just as you mentioned, a half duplex is just one side of the duplex. Just for clarification, it may not always be separate ownership (when you find one advertised for sale). You might come across an owner of the full duplex but they only want to sell half of the duplex (one of the units). Me personally, I avoid half duplexes because I view it as too much risk if I have no control or influence on the other side of the wall. I guess I am a control freak, ha ha ha.
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
12y
Daren ,not exactly. You can't sell just one unit unless it is 1) a separate property-fee simple ownership, like a townhouse May be, or 2) a legal condominium with all the associated documents, filings, etc.
toronto, ON · Member since 2013 · 27 posts · 4 votes
12y
A duplex is a two unit attached to each other and act as one entity. In this each unit either identical to each other or different. Where as half plex is a one half of attached residence. There are two half plex in a building which are mirrors of each other . They acted separately and each has their own identity.
Developer · Philadelphia, PA · Member since 2013 · 1k+ posts · 902 votes
12y
In this area they're called "twins" if they're not a duplex, the "half-plex" is a new one to me. Not saying it's wrong, just a regional difference I assume.
SFR Investor · Dallas, TX · Member since 2011 · 604 posts · 243 votes
12y
There is an area close to the area I like to buy rentals, it has a lot of "half plexes", its funny to drive down the street and see one structure with totally different roofing on each side.
I refer to buy in areas where there are few rentals, most homes are OO, so needless to say I stay clear of anywhere with duplexes, it is obviously more leaning to rentals.
Real Estate Investor · Plymouth, WI · Member since 2013 · 28 posts · 10 votes
12y
It's difficult to find value buying a half-plex, but you can do very well by converting a duplex into two legal condos. You'll have to create the correct legal entities for your area, but once you've figured out the process it's just paperwork. Splitting the property into condos could increase the total value by 40-50%.
toronto, ON · Member since 2013 · 27 posts · 4 votes
12y
Agree With Jerry, I also want to add that in half-plex, the separate owner is responsible for the maintenance of his house.Painting the exterior parts, Refinishing or Replacing of roof, Installing a Fence and other individual maintenance, are the responsibility of the owner. In general , it is like a single family residence that shares a common wall.
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
12y
As Wayne mentioned a 2 family dwelling may have different call signs but the definitions will depend on how the structure was built and if each unit is on a separate legal description. A patio-home is a 2 family dwelling like a duplex but each unit sits on its own legal description and lot. The lot line runs through a common wall. Usually code requires these structures to have a fire wall as the common wall and it reaches up through the attic to a common roof.
It would be very difficult to convert a duplex into a patio-home or townhome due to the common wall requirements and subdividing a lot for separate descriptions, probably not done except in unusual situations.
A townhome is usually a two or multi-story structure and might be a 2 family structure or multiple dwellings such as a row house development.
Condos may have the same structure but deeds are restricted to each unit with common areas, yards and amenities under an association or common deed.
Condex is a new one on me, but I can see that, are there any common areas owned equally by both parties in title? @Ann Bellamy
Might have different call signs in different regions, but the thread will be in title to the unit and lot by a separate legal description. Half-duplex sounds like regional slang to me, I'd think patio-home is more common. :)
Rental Property Investor · NH · Member since 2013 · 111 posts · 28 votes
12y
I own two condexes, separate structures in separate towns, ie I have two different co-owners. I love it for many reasons! Sure a lot could go wrong if you have a deadbeat co owner but I vet them as part of my due diligence. Also, you get to work out deals with them like they may have no problem doing the landscaping but you pick up their half on the snow plow bill. Also note that you split your risk. That roof bill gets divided by two, course you could end up with a weirdo roof like one poster mentioned above where there are two different roofs because you couldn't agree with your co owner on when to get it repaired. If you structure your HOA correctly you can actually force them to pay you condo fees of they do not pay their share or you could foreclose on them.
Now as for the money? My recent unit I bought in oct has a far better cap rate and cash on cash return than if I bought a duplex and owned and rented both sides. I think it is an imbalance caused by the crisis. Lots of first time homebuyers bought condexes at the peak and they are losing them like its going out of style and they represent exceptional values IMO. I'm glad everyone hates them!! I would buy them all if I could. A duplex in my area costs 225-250k. You can get better condexes for 85-90k... it's amazing.