Utilities in whose name?

[Bill Burkhead]

Hi everyone, 

Curious to know if the  tenant is paying all utilities do I have them put them in their name or keep them in mine and bill them? Pros/Cons of each? 

thanks so much! 

[Carl Millsap]

Bill, 

Trust me...if the utilities can be placed in the tenants name do it!!!! 

1. I see you're in Massachusetts. If the tenant decides to have the heat on 80 in December because the bill isn't in their name you'll be stuck with the bill. Which leads to #2.

2. If the tenant doesn't pay the electric / water company that company will shut it off. If it's in your name and they don't pay, you might not be able to shut it off in the dead of winter. 

3. The only case where utilities should be in the landlord's company name IMO:

a. It's a multifamily property and there isn't separate meters. 

b. The utility is somehow tied to the property tax bill. i.e in Syracuse the water company can put it in the tenant's name, but if the tenant doesn't pay, the bill will be added to the property owner's (property) tax bill. 

When I first started out, I attempted to "help" a tenant by keeping the electric in my name, that lesson cost me $298.13. That's just the electric bill, never mind the lost rent, damage to property, etc. Learn from my mistake.