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Updated about 3 hours ago on . Most recent reply

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2
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Kyle Schreur
  • Rental Property Investor
  • Grand Rapids MI
1
Votes |
2
Posts

How to split utitility costs between landlord and Tenants

Kyle Schreur
  • Rental Property Investor
  • Grand Rapids MI
Posted

Hey so I have been googeling around and doing research but I can't seem to find a good answer or any information. It might come down to how I'm typing up the question and Google keeps finding me results that have a more general answer. But my question is more nuanced. I'm specifically wondering if it's possible to set up utility accounts where I can contribute a flat specified amount for electric gas water etc. For example 100 dollars flat amount. And then the tenants pay the more variable amounts so it takes me out of the equation if they decide to use more energy during certain times. I feel like that's a win win for both the landlord and tenant. It kinda creates a much smaller threshold for the tenant to save money if they were to keep an eye on their usage since I'm paying a large chunk of it, while also being able to keep any eye on how much they spend so it gives them that personal incentive to watch their usages. It benefits me for the obvious fact of bookkeeping and giving me predictable fixed costs. I'm looking for properties to rent out bedrooms and I understand the benefits of just including utilities in the rent, baking it in. I also understand all the reasons why that's the case. So please for the sake of time and efficiency let's leave those answers alone if we can. Would anyone know how to set it up using my idea? Is there any software, websites, or do I have to contact each utility company separately and set it up that way? I've heard of platforms that allow the landlord to bill the tenants for the utilities so it's still in there name. Any information you can share would be appreciated! 

A) is it even possible

B) any resources you can direct me to if it is possible 

C) what software or website is there that sets that up

Thank you!

  • Kyle Schreur
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