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Updated over 10 years ago on . Most recent reply

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24
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6
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Ruth Ann Morris
  • Real Estate Investor
  • Sioux Falls, SD
6
Votes |
24
Posts

Passing the cost of utilities on to tenants

Ruth Ann Morris
  • Real Estate Investor
  • Sioux Falls, SD
Posted

I am considering purchasing a duplex in Sioux Falls, SD that does not have separate meters.  Up until this point, from what I understand, the utilities were included in the rent.  That works great if you own the place free and clear, but to purchase the place, I am having to finance.  Can I pass the majority of utilities costs on to the tenants, and how do I make it fair if say one unit has one person and the other has three.  At the moment, one place is vacant and the other place has a single long term renter.  

Most Popular Reply

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13,452
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8,349
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Steve Babiak
  • Real Estate Investor
  • Audubon, PA
8,349
Votes |
13,452
Posts
Steve Babiak
  • Real Estate Investor
  • Audubon, PA
Replied

There is only one RIGHT way, and that is to have separately metered utilities. Yeah, it does cost some money to do the right thing ...

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