How To Transfer Utilities Into Tenant's Name

How To Transfer Utilities Into Tenant's Name

Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes

Hello BP Friends,

I am sending out a lease for signature today. This will be the first lease I have ever sent out fro LTR.

How do I go about putting all of the current utilities into my tenants name?

I will need to put:

1. Internet

2. Water/trash

3. Electricity

Thanks in advance,

Nick

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John UnderwoodPro Member
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
3y

Tell the tenant they need to make this happen by x date and schedule the utilities to be cut off from your name on that day.

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  • Real Estate Agent · Chicago, IL · Member since 2018 · 1k+ posts · 1k+ votes
    3y
    Quote from @Account Closed:

    Hello BP Friends,

    I am sending out a lease for signature today. This will be the first lease I have ever sent out fro LTR.

    How do I go about putting all of the current utilities into my tenants name?

    I will need to put:

    1. Internet

    2. Water/trash

    3. Electricity

    Thanks in advance,

    Nick


     The tenant has to do that themselves. Make sure they do it before they move in.

  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @Paul De Luca:
    Quote from @Account Closed:

    Hello BP Friends,

    I am sending out a lease for signature today. This will be the first lease I have ever sent out fro LTR.

    How do I go about putting all of the current utilities into my tenants name?

    I will need to put:

    1. Internet

    2. Water/trash

    3. Electricity

    Thanks in advance,

    Nick


     The tenant has to do that themselves. Make sure they do it before they move in.

    Hi Paul!

     So they contact my utility providers and request the change themselves?

    Thanks, Nick 

  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    3y

    Tell the tenant they need to make this happen by x date and schedule the utilities to be cut off from your name on that day.

  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @John Underwood:

    Tell the tenant they need to make this happen by x date and schedule the utilities to be cut off from your name on that day.


     I just signed a new utility contract with my electric company fro 2-3 years.. This could be problematic for me due to the cancelation fee..right?

  • Real Estate Agent · Chicago, IL · Member since 2018 · 1k+ posts · 1k+ votes
    3y
    Quote from @Account Closed:
    Quote from @Paul De Luca:
    Quote from @Account Closed:

    Hello BP Friends,

    I am sending out a lease for signature today. This will be the first lease I have ever sent out fro LTR.

    How do I go about putting all of the current utilities into my tenants name?

    I will need to put:

    1. Internet

    2. Water/trash

    3. Electricity

    Thanks in advance,

    Nick


     The tenant has to do that themselves. Make sure they do it before they move in.

    Hi Paul!

     So they contact my utility providers and request the change themselves?

    Thanks, Nick 

    Yep! Give them the utility company contact information so they can make the transfers.
  • Real Estate Agent · Chicago, IL · Member since 2018 · 1k+ posts · 1k+ votes
    3y
    Quote from @Account Closed:
    Quote from @John Underwood:

    Tell the tenant they need to make this happen by x date and schedule the utilities to be cut off from your name on that day.


     I just signed a new utility contract with my electric company fro 2-3 years.. This could be problematic for me due to the cancelation fee..right?


     It shouldn't be since you're merely transferring service into someone else's name for use.

  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @Paul De Luca:
    Quote from @Account Closed:
    Quote from @John Underwood:

    Tell the tenant they need to make this happen by x date and schedule the utilities to be cut off from your name on that day.


     I just signed a new utility contract with my electric company fro 2-3 years.. This could be problematic for me due to the cancelation fee..right?


     It shouldn't be since you're merely transferring service into someone else's name for use.


     Thank you, Paul! Just got off the phone with both utility companies and got it squared away. Appreciate your inut and time very much - Nick 

  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    3y
    Quote from @Account Closed:
    Quote from @John Underwood:

    Tell the tenant they need to make this happen by x date and schedule the utilities to be cut off from your name on that day.


     I just signed a new utility contract with my electric company fro 2-3 years.. This could be problematic for me due to the cancelation fee..right?


     Never heard of a contract. You have to have electricity and water why would you need a contract?

    Just tell them your tenant will be taking over contract.

  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @John Underwood:
    Quote from @Account Closed:
    Quote from @John Underwood:

    Tell the tenant they need to make this happen by x date and schedule the utilities to be cut off from your name on that day.


     I just signed a new utility contract with my electric company fro 2-3 years.. This could be problematic for me due to the cancelation fee..right?


     Never heard of a contract. You have to have electricity and water why would you need a contract?

    Just tell them your tenant will be taking over contract.


     Yea, here is Dallas, we have to sign contracts for electricity. I called "Rhythm Energy" in this instance, and they told me that I cannot put my contract in their name, so I have to cancel. Good thing is that the new contract begin tomorrow and I have 30 days to cancel penalty free.

  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    3y
    Quote from @Account Closed:
    Quote from @John Underwood:
    Quote from @Account Closed:
    Quote from @John Underwood:

    Tell the tenant they need to make this happen by x date and schedule the utilities to be cut off from your name on that day.


     I just signed a new utility contract with my electric company fro 2-3 years.. This could be problematic for me due to the cancelation fee..right?


     Never heard of a contract. You have to have electricity and water why would you need a contract?

    Just tell them your tenant will be taking over contract.


     Yea, here is Dallas, we have to sign contracts for electricity. I called "Rhythm Energy" in this instance, and they told me that I cannot put my contract in their name, so I have to cancel. Good thing is that the new contract begin tomorrow and I have 30 days to cancel penalty free.


     That's good!

  • Real Estate Consultant · Cleveland · Member since 2020 · 6k+ posts · 3k+ votes
    3y
    Quote from @Account Closed:

    Hello BP Friends,

    I am sending out a lease for signature today. This will be the first lease I have ever sent out fro LTR.

    How do I go about putting all of the current utilities into my tenants name?

    I will need to put:

    1. Internet

    2. Water/trash

    3. Electricity

    Thanks in advance,

    Nick


     Really ? The tenants call and do it themselves. Also PLEAS hire a PM co, this is not going to end well. 

    All the best to you 

  • Real Estate Broker · Coppell, TX · Member since 2011 · 5k+ posts · 4k+ votes
    3y

    You don't transfer them, but tenants will need to order utilities for themselves.

    Electric, they probably have a choice.... powertochoose.org

    Gas is normally only Atmos in that area.

    Internet they can choose whoever they want to use.

    Water/Sewer/Trash..... probably they can go on City of Dallas website to set it up.

    I normally provide them a list of providers.

    You'll need to order cutoff, but I would not do that until you have deposit and 1st month rent in hand.   Too many people flake out and you don't want to have to pay for reconnect.   I tell them I will order cutoff for the 1st day of their lease, so if they want service they need to order before that.

  • Spring, TX · Member since 2017 · 138 posts · 44 votes
    3y

    @Account Closed in the future, in between tenants, when you call utility companies to transfer them to your name tell them you don't want a contract but just a flexible month to month plan since this is for a rental property (normally here in Houston only electricity companies ask you to sign a contract but not all.  Like Entergy never makes anyone signs a contract).  That way you don't have to deal with cancellation fee, etc.

  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @Bob S.:
    Quote from @Account Closed:

    Hello BP Friends,

    I am sending out a lease for signature today. This will be the first lease I have ever sent out fro LTR.

    How do I go about putting all of the current utilities into my tenants name?

    I will need to put:

    1. Internet

    2. Water/trash

    3. Electricity

    Thanks in advance,

    Nick


     Really ? The tenants call and do it themselves. Also PLEAS hire a PM co, this is not going to end well. 

    All the best to you 

    This type of response doesn’t belong on Bigger Pockets, Bob. This is a place where people come to learn and teach others. I have experience managing a short term rental, I also work in the property management industry on the STR side. Not sure why you think this isn’t going to end well, but thanks anyways! 
  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @Courtney Nguyen:

    @Account Closed in the future, in between tenants, when you call utility companies to transfer them to your name tell them you don't want a contract but just a flexible month to month plan since this is for a rental property (normally here in Houston only electricity companies ask you to sign a contract but not all.  Like Entergy never makes anyone signs a contract).  That way you don't have to deal with cancellation fee, etc.

    Thanks, Courtney!
  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @Bruce Lynn:

    You don't transfer them, but tenants will need to order utilities for themselves.

    Electric, they probably have a choice.... powertochoose.org

    Gas is normally only Atmos in that area.

    Internet they can choose whoever they want to use.

    Water/Sewer/Trash..... probably they can go on City of Dallas website to set it up.

    I normally provide them a list of providers.

    You'll need to order cutoff, but I would not do that until you have deposit and 1st month rent in hand.   Too many people flake out and you don't want to have to pay for reconnect.   I tell them I will order cutoff for the 1st day of their lease, so if they want service they need to order before that.

    Thanks for the amazing wisdom as always, Bruce!
  • Investor · Charleston, SC · Member since 2011 · 606 posts · 413 votes
    3y

    I give the tenant a list of the utility providers names and numbers and tell them that by the move in date they must have already contacted the utility company's and scheduled the utilities to be turned on on or before the move in date.  I tell them I will be turning off all the utilities in my name and they need to get them turned on in your name by the lease move in date.  Never have issues with this since I always work with the tenant if there is an issue.  

  • Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
    3y

    The tenants will do it, they will all (except internet) stay in your name until the tenants start their own. 

  • Rental Property Investor · Boston, MA · Member since 2019 · 2k+ posts · 1k+ votes
    3y

    @Nicholas Aja have your tenants call the utility companies.

  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @Randy Rodenhouse:

    I give the tenant a list of the utility providers names and numbers and tell them that by the move in date they must have already contacted the utility company's and scheduled the utilities to be turned on on or before the move in date.  I tell them I will be turning off all the utilities in my name and they need to get them turned on in your name by the lease move in date.  Never have issues with this since I always work with the tenant if there is an issue.  

    Great info, Randy! 
    Thank you 
  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @Eliott Elias:

    The tenants will do it, they will all (except internet) stay in your name until the tenants start their own. 

    Thank you, Elliott!


  • Rental Property Investor · Dallas, TX · Member since 2020 · 155 posts · 44 votes
    3y
    Quote from @Bud Gaffney:

    @Nicholas Aja have your tenants call the utility companies.

    Sure will. Thank you, Bud!
  • Drew SygitBusiness Member
    Property Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
    3y

    @Account Closed you may want to call your utility company you signed with for 2-3 years and confirm with them if & how service can be transferred to a tenant.

  • Ryan KellyBusiness Member
    Real Estate Broker · Austin, TX · Member since 2018 · 1k+ posts · 1k+ votes
    3y

    @Nicholas Aja the way to do it is you cancel the utilities in your name with an end date. The tenant then calls the utility providers and sets up new accounts in their name. It’s no different than if you sold the home and a new buyer moved in and set up their new utilities.

    Ryan Kelly Group - Keller Williams5112 Reviews
  • Member since 2022 · 1k+ posts · 1k+ votes
    3y

    I don't think it matters. In Seattle the owner is held responsible for Elec, Water. Just make sure your lease says the tenant must pay all, set up account within x days, pay timely,  or it is considered a rent default, and subject to a 3 day pay or quit. The way it used to work before the utilitites bought our legislature? You call utility, tell them to change name from yours to tenant (on what date), then tenant must call and finish account set up. Internet, you simply quit.

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