Recently purchased duplex need advice
Hello all,
I purchased a duplex this year with my wife at the beginning of April. It is recently renovated has a ground floor unit and an upstairs unit. Currently the entrance way to the upstairs unit has access to the basement which is shared to both units.
My question is should I build a wall separating both units completely so that they do not have any shared area nor run into eachother unless outdoors? This would remove laundry currently for the upstairs unit as it is only in the basement. I had a plumber come out and it’s around $5k to get washer/dryer hookup installed upstairs which I may pursue but not sure if I can justify this at the moment due to not having a huge emergency fund.
I currently have a tenant upstairs which is a good friend of mine but they are leaving at the end of September so removing laundry would not hurt any current renters. I’m living in the bottom unit as well at the moment if that matters.
I’ve read several places that it’s hard to rely on both tenants to get along for the shared laundry situation to work and I want to avoid as much as that as possible. I also think the added privacy of the units being completely separate is a plus.
I know this will hurt the upstairs rent but I’m not sure by how much as this is my first property (and first real tenant). I currently have it listed for $2,100 rent (current tenant paying $1,800) 3 bed 1 bath (basement has another full bath although potentially removing that) have about 20 inquiries so far with the unit not being able to be toured until middle of September.
Looking for advice on this and what you would do in my situation. Thank you!
Quote from @Trevor Petri:
I would separate the units and rent the upstairs unit without laundry. It's pretty common for apartment renters to use a launromat. As long as you disclose it up front, it won't be a problem. Privacy and safety is more important than anything.
Quote from @Nathan Gesner:Hi Nathan, I appreciate the input! That’s what I was leaning towards as it would better suit both tenants especially after I move out. Is a 10% reduction in rent a reasonable expectation for not including laundry? $100-200/month in this case?
Quote from @Trevor Petri:
I would separate the units and rent the upstairs unit without laundry. It's pretty common for apartment renters to use a launromat. As long as you disclose it up front, it won't be a problem. Privacy and safety is more important than anything.
Quote from @Trevor Petri:
Wait until your buddy moves out. Make the changes. Rent it for what it is worth based on current market rates. Look at other apartments in the area of similar size, # of beds/baths, location, quality, etc. I just quickly looked at realtor.com and it appears a 1bed/1bath with 600 sq.ft. should go for around $800 without a washer/dryer included. Keep digging in and price yours according to what the market can bare.
@Trevor Petri, look at what comparable units offer. I can certainly believe a C or D class unit might not have laundry hookups or appliances. However, I suspect in most markets on site laundry would be expected for an A or B class. Based on the $2100 asking rent, I suspect you have an A or B class rental on your hands.
The issue for you may be less about sharing a space or laundry area as that isn't uncommon. The issue for you might be when you move out, there likely isn't separate water/gas/electric to service the common laundry. So, the bill would be associated with one of the units unless all utilities are combined anyways and then that issue would be moot.
Me, I would lean towards keeping the shared laundry and working to make it as usable as possible for multiple units. Maybe extra counter space to setting baskets and folding. Maybe some signs about how to use and also courtesy.
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You could also add proper lighting (and using an occupancy sensor) for a nice, bright laundry area for both; AND create some storage spaces that you rent for additional income. These could be larger, chain link fence enclosures, or smaller closets or cabinets, depending on available space. Whatever you do, establish some "House Rules" that apply to all Residents, such as hours of use; no random stored items or "donations" left outside of storage lockers; no flammable liquids; no food storage, etc.
Quote from @Kevin Sobilo:That was also a main concern of mine. The rentals are definitely not low class and I'm afraid with how much I'm expecting for rent it is going to become much harder to sell without at minimum on-site laundry. I think separating the units and adding laundry upstairs would be the best solution, but quite costly for me at the time being.
@Trevor Petri, look at what comparable units offer. I can certainly believe a C or D class unit might not have laundry hookups or appliances. However, I suspect in most markets on site laundry would be expected for an A or B class. Based on the $2100 asking rent, I suspect you have an A or B class rental on your hands.
The issue for you may be less about sharing a space or laundry area as that isn't uncommon. The issue for you might be when you move out, there likely isn't separate water/gas/electric to service the common laundry. So, the bill would be associated with one of the units unless all utilities are combined anyways and then that issue would be moot.
Me, I would lean towards keeping the shared laundry and working to make it as usable as possible for multiple units. Maybe extra counter space to setting baskets and folding. Maybe some signs about how to use and also courtesy.
You are correct that the basement is all wired to the lower unit so that would be an issue since I'm having the tenants setup all their own utilities.
Quote from @Trevor Petri:
Quote from @Kevin Sobilo:That was also a main concern of mine. The rentals are definitely not low class and I'm afraid with how much I'm expecting for rent it is going to become much harder to sell without at minimum on-site laundry. I think separating the units and adding laundry upstairs would be the best solution, but quite costly for me at the time being.
@Trevor Petri, look at what comparable units offer. I can certainly believe a C or D class unit might not have laundry hookups or appliances. However, I suspect in most markets on site laundry would be expected for an A or B class. Based on the $2100 asking rent, I suspect you have an A or B class rental on your hands.
The issue for you may be less about sharing a space or laundry area as that isn't uncommon. The issue for you might be when you move out, there likely isn't separate water/gas/electric to service the common laundry. So, the bill would be associated with one of the units unless all utilities are combined anyways and then that issue would be moot.
Me, I would lean towards keeping the shared laundry and working to make it as usable as possible for multiple units. Maybe extra counter space to setting baskets and folding. Maybe some signs about how to use and also courtesy.
You are correct that the basement is all wired to the lower unit so that would be an issue since I'm having the tenants setup all their own utilities.
@Trevor Petri, it sounds like each tenant has their own entrance to the basement. If so, would it be possible to split the basement space up and provide a second laundry room down there for the upstairs. That might be a much cheaper option because wiring, water and drain lines are likely easily accessible and the space doesn't even need to be made a finished space with walls, etc.
This could also provide the upstairs tenant with some additional storage and storage is always a plus!
Quote from @Kevin Sobilo:Both units use the same path to the basement, it is right next to the top units entry to the building and there is a door at the back of the bottom unit which opens to a short hallway that consists of an opening to the basement, access to the door where the top unit comes in, and another door which goes out to the backyard of the property.
Quote from @Trevor Petri:
Quote from @Kevin Sobilo:That was also a main concern of mine. The rentals are definitely not low class and I'm afraid with how much I'm expecting for rent it is going to become much harder to sell without at minimum on-site laundry. I think separating the units and adding laundry upstairs would be the best solution, but quite costly for me at the time being.
@Trevor Petri, look at what comparable units offer. I can certainly believe a C or D class unit might not have laundry hookups or appliances. However, I suspect in most markets on site laundry would be expected for an A or B class. Based on the $2100 asking rent, I suspect you have an A or B class rental on your hands.
The issue for you may be less about sharing a space or laundry area as that isn't uncommon. The issue for you might be when you move out, there likely isn't separate water/gas/electric to service the common laundry. So, the bill would be associated with one of the units unless all utilities are combined anyways and then that issue would be moot.
Me, I would lean towards keeping the shared laundry and working to make it as usable as possible for multiple units. Maybe extra counter space to setting baskets and folding. Maybe some signs about how to use and also courtesy.
You are correct that the basement is all wired to the lower unit so that would be an issue since I'm having the tenants setup all their own utilities.@Trevor Petri, it sounds like each tenant has their own entrance to the basement. If so, would it be possible to split the basement space up and provide a second laundry room down there for the upstairs. That might be a much cheaper option because wiring, water and drain lines are likely easily accessible and the space doesn't even need to be made a finished space with walls, etc.
This could also provide the upstairs tenant with some additional storage and storage is always a plus!
The washer/dryer is currently located immeditely on the right when going down the basement stairs. There is a door straight ahead that leads into another large room where another bathroom is located, a storage room, and the breakers for both units. I think putting a washer/dryer hookup in that room and just giving the bottom unit access to that area would suffice. There is another room with storage in the basement which is located directly across from the current washer/dryer which I could give access to the top unit to.
This sounds like the cheapest way to maintain separate laundry, although the units would still have a shared space, not sure how much of a negative this is in the grand scheme of things. I'm assuming I'd be able to wire the second washer/dryer to the top unit so that it would remove the electricity issue with the current shared laundry. Only light's would be attributing to the bottom unit's electricity which should not be an issue.