How to SAVE on ENERGY????

[Atwan Kwan]

Problem...... - Utilities From HELL!!!!

My client has the property from hell, with an old-school forced air furnace.....

I was able to get them great tenants at a great rate..... only to find the blood sucking heat drain it all away....

Bills go up to $500/mo!!!.....

I'd like to consult my client with an alternative, because the house has HUGE potential.....

Maybe some of you guys r smrtr than I..... any ideas?

[Joe Splitrock]

@Atwan Kwan that seems like a really high gas bill. Can you provide more detail on the property like age, square feet, furnace age, is it single or multifamily, etc? Replacing the thermostat with a digital programmable type is a good first step. Next look at the furnace. You could have a 70% or worse efficient furnace and a new one could be 95% or better. The furnace upgrade could pay for itself quickly. You get to depreciate it on your taxes. Check the attic first because that is where most of your heat escapes. Should be 18" or more of insulation in the attic. If not, having insulation blown is cheap and fast. Once you start getting into windows, it is going to help but will cost lots of money up front. 

Just to summarize in order. Thermostat upgrade, furnace upgrade, attic insulation, windows.

One final caution is that tenants who do not pay their own heat will often be careless. I had a property where I paid gas and I drove by in January to find all the upstairs windows open. They said it was hot so they opened the windows. Whenever possible have the tenant pay all utilities and you will be amazed how much the bills decrease.