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Updated over 6 years ago,

User Stats

335
Posts
148
Votes
Courtney Fricke
  • Investor
  • New Orleans, LA
148
Votes |
335
Posts

City Utilities vs Private Well/Septic for a Rental

Courtney Fricke
  • Investor
  • New Orleans, LA
Posted

My goal is to soon house hack a small multi-family. One of my original preferences is for there to be city utilities instead of private. After analyzing a handful of properties I am already seeing that this preference is making it hard to find a property that meets my other criteria (location, flood zone, price, etc). 

One of my main reasons for that preference is because I would prefer for the electricity to be in the tenants' names. With a sewage treatment or septic, my parish (county to non-Louisiana people) requires a permit to turn the power on once it has been turned off or even transferred. I don't want to involve the parish continually as they tend to cause additional headaches. Even with flips they have failed the septic for non-issues which were eventually corrected on their end but caused further delays.

A solution to that could be keeping the power in my LLCs name but enforcing through the lease that failure to pay for electricity will result in a 5-day notice and therefore being ground rules for an eviction. I don't prefer this but it's a possibility that I could explore with an attorney.

What has your experience been with keeping electricity in your name?
Any tips or tricks?

What about private utilities? Any thoughts on those? 

Appreciate any input. Thanks!

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