utilities: heating solution (electric)

[Jason A.]

hi all, i am looking at a multi in Connecticut .... property is in good shape and the asking price is fair. rents are under market - reason being: electrical heat. nat gas is available, however, it is not piped in ... so tenants are paying steep electric bills for hot water and heat. 

i was lucky enough to get a moment alone with one of the tenants when i was viewing the property ... i asked "give me one thing you don't love about living here" and he stated nailed it: "the electric bill will bite you in the winter". 

based on past experience ... i am guessing it could cost $25K to $30K or more to bring in nat, install new furnaces and water heaters, etc. While it could be a decent long-term investment on the basis of increasing rents notable, it is not a project I want to get into again (have done it before). 

if anyone has this situation in this part of the county ... where winters can be pretty difficult... appreciate any thoughts or ideas. 

thanks 

[Angelo Pozzuto]

I have a house with three different sources of heat, home heating oil, natural gas, and electric heat in Connecticut. If I was building the house over, I would put electric heat in every unit. Easy to maintain and cheap to install. If there is already electric heat that your tenants are paying, I would leave it. That’s just me. If I was living in a unit for a house hack, or if I was already planning on remodeling the house, might be something I would consider. Otherwise it would need to be a strong financial benefit, like a few hundred dollars per month per unit difference for me to do that.