Calculating Oil Heat into numbers?

[Kyle Curtin]

Hi everyone!

I have started to run numbers on properties daily, and have seen oil heat instead of gas in a variety of units. Would the best bet be to aquire a past oil bill for a property, or can you estimate a rough number per bedroom/ unit? How do you like to factor in this expense?

Thank you,

Kyle

[Colleen F.]

Oil is tough, no per bedroom estimate I know of there are too many variables efficiency, building envelope and the price varies. If your tenants are paying I would not worry about getting actual cost. budget weather sealing upon purchase.  If you are paying try  to get the oil vendor bill to get a per season estimate on gallons of use. Use number of gallons x price  max over the last couple years to get max range. Alternately use 70% expenses instead of 50. If you have an old furnace figure in replacement cost.