Investor · Florida Panhandle/Illinois · Member since 2016 · 4k+ posts · 3k+ votes
When the Landlord pays for electricity and the tenant wants to install a window A/C, I see Landlords charge an additional fee for the A/C since it uses additional electricity. Looking for feedback on what the typical fee is for the a/c unit if Landlord supplies and the electrical up-charge. I see fees ranging from $20/month for the unit to $50 plus the electrical charge or it’s all rolled into one fee.
Rental Property Investor · SE Michigan · Member since 2014 · 4k+ posts · 6k+ votes
7y
You may want to look into implementing a RUBS system. Then the tenants pay for what they use and you don't have to constantly monitor the outside of the building.
Thanks everyone for responding. Clearly I did not provide enough detail. I had inherited tenants on a 4 unit purchase. All with existing leases. I was looking for options to cover utilities in the meantime. I agree with all of your comments, the tenants should pay these. This is my only building set up this way.
Rental Property Investor · SE Michigan · Member since 2014 · 4k+ posts · 6k+ votes
7y
I've got to add one more thought here. Generically saying 'never pay utilities' is too simplistic.
Some times a building is a good investment even if it is impossible to sub-meter. For example, most apartments, the water is paid by the property. One solution is RUBS.
On the other hand, in some C class properties, the tenants may not have enough cash or credit to get the utilities in their own name. Some pay a premium for All Bills Paid properties where the landlord pays all utilities.