Multi-family homes on LBI are most commonly a duplex but there are some three and four units as well. The most common duplex is the "up and down" duplex where there are two identical or very similar apartments in one building on one lot. The LBI real estate market is comprised of several different property types. One of the most versatile is the multi family home option. The majority of multi-family homes in the LBI real estate market are two family duplexes. Most of these homes were constructed in 1950s and 1960s and are comprised of a upstairs and downstairs unit, each with its own kitchen, bathrooms, living areas, bedrooms, and private entrance. The market for duplexes on Long Beach Island has always been strong, as these homes offer excellent opportunities to both enjoy and rent a property simultaneously.
There are three common forms of duplexes for sale on LBI. They are:
The most common of all LBI duplexes tends to be the two or three bedroom style built during the 1950’s and 1960’s by the Shaprio family mostly in Long Beach Township. These duplexes are very functional and make for an excellent beach home. Typically, the two bedroom units will rent for less money and are on smaller lots making building side by side townhomes more difficult. The three bedroom models are very good rentals and can even be converted into condos with each unit selling separately.
Duplexes on Long Beach Island are characterized by offering multiple dwellings on the same property, usually one to four units. This allows buyers to capitalize on the advantages which include:
Duplexes can offer a buyer the ability to own a beach house without “breaking the bank”. Thanks to their unique design, one unit can be used by the owner while the other rented out for income. While one unit renting on its own will most likely not cover all the expenses, it will cover a good portion of them. This can make the ownership process much easier and less stressful on Long Beach Island.
Overall, the market for duplexes on Long Beach Island has shown improvement. With far more homes selling (and selling for a higher percentage of their asking price) it is encouraging news for the LBI real estate market as a whole. When buying a duplex, there are some differences that a buyer must be aware of. For example, typically a duplex will sometimes require a higher minimum down payment (in most cases 25% opposed to the more common 20%) and will carry a slightly higher interest rate since banks consider them to be investment properties. It is also quite common to expect to take an investment loan instead of a traditional second home loan. Duplexes can make for an excellent investment with strong rental potential or can allow for side by side townhomes to be built so apart from the short term rental and personal use aspect, there is a strong investment incentive, especially as the LBI real estate market appreciates.
