Can I add a mailbox to address for casita? How to split utilities?

Question

Hello! I’m purchasing an investment property that has a main and an attached casita with private entry. I want to rent them out separately and wondering if I’m able to just add a mailbox and label each door as ‘A’ and ‘B’

Also, how do you separate electricity/utility bills for each tenant? Do you just include all utilities in monthly rent since it’s coming from one breaker and water account? This is in Arizona. Thanks!

Thanks!

Nathan Gesner · Answer

You have to contact the city and see if you can separate the address. If allowed, they should provide you something in writing and then you can share that with the post office so they can deliver mail to the second location.

Eliott Elias · Answer

If the casita doesn't have a legal address then no mail will be dropped off to it. Only way you can track electric usage is if you have separate meters.

Herman Fox · Answer

I had the same question, but mainly about the mail.   My attached casita is part of my primary which share one mailbox down the street on a standalone wall amongst grid of other residents mailboxes.  This wall of inboxes looks full and only made for the primary residences so adding one solely for my casita rental seems impossible.  The HOA is a lennar 'nextgen' Casitas which is one of many of the builds in my community.  I'm wondering if it's legal to handle the mail for the tenant and drop off the mail to the tenants if it is addressed to them?  @OP - As far as utilities goes, I pay for them and write it off during tax preparation.

Nathan Grabau · Answer

You can subdivide utilities, but this will likely involve new meters and full house replumbs/ rewire. In AZ, it will probably be very expensive to get a second water meter. I pay water on a few of my properties and you can charge some of it back, but I would assume that this is something that you will not be able to recover in your underwriting.

I would call USPS about the address. They are always hit or miss, but I have heard this is not as bad as other tasks.

Richard F. · Answer

Aloha,

While I am sure in many rural areas it would not be an issue, generally the USPS only delivers mail to addresses from the property tax records.

To split utilities, it largely depends on how they are currently configured. They may be easy and relatively inexpensive to add sub-meters for the secondary unit, or they may be significantly intertwined, making it much more costly to separate. With sub-meters, the LL/PM will need to manually calculate usage of the secondary unit to subtract from the primary utility invoice to bill both tenants properly each month. Or pay more for more expensive equipment and a service that will bill it direct to tenants.

Can I add a mailbox to address for casita? How to split utilities?

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