I have always been hooked up to city water and city sewer. You hardly ever think about your water supply. If you depend on a well or a septic system, things are way different.
Hopefully the 10 minute video I found below will help somebody learn the basics about wells.
If you are working on a deal, any deal, one of your major considerations should be whether the property has city water and city sewer or a well and septic system.
If the property is on city services vs. well/septic is certainly a consideration. We completed a septic system inspection on a property today. We'll end up with several hundred in maintenance expenses on this property, but the system is in good shape. It's 30+ years old. The sewer bill in this rural area is $0.00. To contrast, in the city of Raleigh, on a bill with no water used, the minimum bill is $38.84 because of 6 different fees. If you rent property, have a septic tank addendum for your lease. And add $38.84 to the rent.
I didn't watch the video yet but I will when time permits. I just wanted to add that I currently live in a rural area with well and septic tank. Not having a monthly water bill or sewer bill is pretty awesome. That is all.
I own 6 houses each with well water and septic tank -- haven't had any major issues or drawbacks.
Cleaning the septic tank out is like $150 every few years.
As long as the well and filtering equipment is in good condition and properly maintained, you shouldn't have much of an expense.
Thanks guys for chiming in. I had to learn about wells and septic systems and figured that most wholesalers operating in metro areas probably do not know much on the subject unless they have dealt with a property outside the city limits.
You definitely want to factor the potential cost of repairing or replacing a well or septic system into your offer especially if you do not get them inspected.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing