Pay or not to pay - Water bill on multi-family properties

[Erik Cabral]

I picked up a 2 unit multi-family property. Unit 1 is a 1bed/1bath. Unit 2 is a 3 bed/1 bath. I've accounted for me paying the water and sewer in my numbers but have also had others recommend I pass this cost down to the tenants by splitting it 1/3rd to Unit 1 and 2/3rds to Unit 2. I plan on raising rents $100 for each unit so either way, I'm covered. Looking for ideas! What have you guys done in this situation?

[Matt Lefebvre]

I think you need to consider your local market and if other landlords are doing this @Erik Cabral.  If I was trying to rent an apartment and told someone "You have to pay heat, hot water, electric, water, and sewer", they'd probably turn around and walk out.  I have only seen submetered water/sewer for SOME commercial spaces in my market... I have yet to see a building for sale or apartment for rent where the tenant is paying for water/sewer.  Make sure it fits in your market!