Automate my 4-plex: Poke holes in my plan? Other suggestions?

Question

I own and self-manage a 4-plex in a neighborhood about 30 minutes from my house, 5 minutes from my place of employment. I plan to purchase an internet plan for the site and install a mesh wireless router system to boost the signal to all 4 tenants. Here is why I want to do this:

1. Use this as an optional revenue stream in providing WIFI to the tenants at a low cost.

2. Run security cameras in the laundry room (had a few issues with theft), boiler room, and the outside of the building for tenant security/general monitoring. Also can use to watch irrigation system and ensure it is running on time.

3. Install water sensors in all leak prone areas of the apartment and set up the automated alert system.

4. Use leak sensors (Yolink WIFI water sensors)  to close a mainline water shutoff valve, either automatically or from the app upon notification.

5. Control and monitor the irrigation system over WIFI with an Orbit Bhyve controller (ROI: can rain delay to save water automatically).

6. Use WIFI controlled door locks on front hallway and boiler room to allow access to contractors when I am unable to be there (not access to resident units - I will always be there when contractors are there).

Much of this likely seems like overkill, but my experience has been that installing these systems provides significant peace of mind and allows for further automation (Example: water leak: Open maintenance ticket and dispatch automatically). Any changes you would make here? Equipment suggestions? Automation hacks or podcasts/blogs I should read about this?

Thanks for your input and time!

Patricia Steiner · Answer

A couple of thoughts:

1.  Using wireless entry is great - especially when the tenant can choose their own code which provides for peace of mind/added security.  BUT - you then have to install a mechanical keybox on site for each unit because 'wireless' is far from consistent.  First, it goes down.  It can also be jammed by other signals/devices.  Then there are people who just want a dang key.  I am a fan of wireless entry but only with a on-site backup in place (not disclosing the backup code until needed).  Security cameras are a must have in urban areas but I recommend hardwiring.

2.  Wifi access.  Great for vacation rentals - not for long-term. Many remote tech workers are required to use a particular vendor.  And, others - including me - will not use a 'group' wifi for safety reasons as it is a threat to personal information.  If your router was to get hacked, are you willing to assume the liability for your tenants' data breach?  I would rethink this one. Also, if the vendor's system goes down, are you willing to take complaint calls from tenants?  That's what results when the landlord provides the service.

3.  Sprinklers/water leaks...overkill for sure.

Investment properties are not where we live and over-improving is the #2 reason why landlords fail (#1 - failure to manage to the lease).  My recommendation would be save all these great ideas for your home and never over-improve a property for the market...there's no ROI for it.

Hope this helps.

Nathan Gesner · Answer

I wouldn't do it.

You want to spend $1,000+ for equipment then $1200+ a year for WiFi so you can monitor the sprinklers?  A water leak is pretty rare and typically results in a few hundred dollars added expense. Those WiFi locks seem pretty nifty until they fail, they are hacked, or your Tenant isn't tech savvy and could care less about learning how to use them.

I just don't see how the additional cost is justified.

Marcus Auerbach · Answer

Sounds like a fun project, but really overkill. A security camera might be worth it, but security lights are usually more effective to prevent issues in the first place. You can add a fake camera for effect. Wall mounted lockbox for contractor access.

Richard S. · Answer

Love this detailed insight, especially the tips about why landlords fail. Would you mind providing a source article/book where you've seen these failure reasons? I'd like to get more details on "failure to manage the lease". Thanks for your time!

Marcus R. · Answer

#1 and #4 seems like overkill for a 5 to 30 min drive.

ISPs can see individual IP addresses so I think the OP is OK if any user violates the terms, conditions, and/or AUP of the ISP but I agree I still wouldn't provide the internet.  I actually think the OP is violating the terms, conditions, and/or AUP by reselling the product unless they have an executed reseller agreement...

Internet is a commodity with low switching costs so the markup would be razor thin so I wouldn't think tenants would be willing to pay much extra and I'm sure they would want some performance minimums and you'd be the customer of record who'd need to call in trouble.

Since it's 5 mins from your work why not drop by once a month (you could do this on your lunch break) and walk the property.  By automating too much away you the run risk of slowly thinking "I wonder why I haven't heard anything? Is the building still standing? Did tenants vacate? Are they smoking in the property? Did they get pets? Etc..."

Greg M. · Answer

Installing WiFi to run security cameras, leak sensors, and irrigation systems is fine. I can see value in that.

WiFi controlled locks? Sure, I guess as a secondary way to enter that would be fine. However, there are easier ways.

Providing WiFi to the tenants? Hell no! Every time there is a slow connection or it goes out, you're getting called. And do you want your name attached to the internet when one of your tenants is downloading questionable/illegal material?

Richard S. · Answer

Very fun, right? I've got the lockbox and key code entry for contractor access already. I think you are right that this is sufficient. Thanks for your time.

Automate my 4-plex: Poke holes in my plan? Other suggestions?

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