All Forum Posts by: Jake I.

@Travis Scribner Interesting, Travis. I'm curious, do those base charge utility fees just come in the lease and are not advertised as an addition to the rent?

Also, to your point about multi-plexes, is there a common practice in which there is one meter but water bills can be split by all units equally? Like it's understood that the tenant's bill won't be a direct reflection of their use, but they know that it will be split or just a flat bill every month that I take in with rent? I could be mistaken, and I could possibly find out, but I think I remember when I lived in a large complex that we received a water bill in the mail, but we paid it to the leasing office as an addition to our rental dues. Sound like something you may have seen before?

@Shawn Ackerman Yes for sure. We'll see what Seth has to say, but just from my experience as a renter I've always had to pay water. However, I haven't lived in many different areas of town so it could vary. Not sure if it's a Texas thing or not.

@Seth Teel @Shawn Ackerman Thanks for your replies, guys. I hear what you're saying, and will definitely be looking for separate meters when I am hunting for properties. It sounds like you both may still be leaning towards paying water (here in San Antonio water includes sewer and garbage) as the owner even if there are separate meters. Am I understanding correctly?

Again, I have lived in a 300 unit apartment complex, a four-plex, and a single family house in San Antonio and I was responsible for the water bill and didn't think twice as it was just another utility. Thanks again, I just want to be clear because a water bill could be quite a significant expense when analyzing a property for cashflow.

@Justin Kane @Dana Dunford Thank you both for your answers. Makes a ton of sense and very helpful.

I see on most of the Bigger Pockets blogs, podcasts, or webinars that when analyzing a property and its expenses, many times utilities such as water/sewer/garbage, electricity, gas, etc. are thrown into the expense column. My question, is the landlord paying for some or all of these utilities common?

Every place I've ever rented be it a house or apartment, I was always responsible for the utilities. It makes sense to me that I would have the renter responsible for all utilities creating less expenses for myself as a landlord. In my experience it didn't appear that I was getting a deal on rent because I was paying for all my own utilities.

Does it depend on your city, state? Does it depend on the area of town? Is it harder to rent to middle to lower income neighborhoods if you're not paying for those utilities?

I live in San Antonio, Texas and have rented both here and in Tucson, Arizona.

Thanks in advance for all replies.

@Jay Hinrichs Thank you so much, Jay. Makes perfect sense and I appreciate the advice.

Thanks for your response, Alan. As you mention financing purposes, are you stating that because there's a benefit to one over the other, or just that there is a difference? 

Hello, I am looking to speak with an experienced real estate agent in the San Antonio, Texas area of whom has background in multi-family properties. I am interested in working with someone familiar with BP's methods and interested in working with someone wanting to acquire as many units as possible. I am wanting to do buy and hold, possibly rehab needed, 4-plexes to start.

Please message me if you have any recommendations for an agent in my area or are one yourself. Thank you!