To Increase income or decrease expenses?

[Derrick Powell]

Good morning,

I have a fourplex I pay water and sewer which is annually ~$3300.  I received a quote to submeter the water ~$15k. This is about right as there will be new meters installed, digging the meter pits, new supply lines etc.

The question, do I spend the money on decreasing the expenses at the fourplex property or invest in another duplex for about $15k down which will provide about $3600/yr cash flow?

Thanks!

[Jerry W.]

Hey @Derrick Powellwelcome to BP.  I guess my answer is which one will make you more money?  If you make more money buying another 4plex then I would opt for buying next one.  Keep in mind that you will be less competitive if you do not pay for the water for tenants and other landlords do pay for water.  If you can make $100 or more per door buying another unit go for that.  Good luck.