Edmonton Real Estate Investors Association Message Board › houses with basement suites

houses with basement suites

Chris
user 28175602
Edmonton, AB
Post #: 1
Hi all

Looking at house's with basement suite's and wondering about common scenario's for who pays utilities. If I buy and rent top and bottom do I pay or they split?

Thanks
Kathy C.
KathyCallfas
Sherwood Park, AB
Post #: 31
I pay the utilities as the main floor had a much larger family and I did not want any squabbles. Now the one family rent the whole house. There are some disadvantages as my tenants keep the house at 23 degrees all year and will not agree to even lower the temp at night.

However you can of course increase the rent annually to make sure everyhting is covered and a positive cash flow. Kathy Callfas
Jim W.
jimwhitelaw
Edmonton, AB
Post #: 2
What we do is keep utilities in our name and bill the tenants based on a split (usually 60/40 up/down). The amount they pay is based on the previous year's monthly average and can be adjusted if needed to reflect actual amounts. The utilities payment is paid at the first of the month with their rent.

We have a separate utilities agreement for this. Our tenants like the simplicity of a single payment and a fixed monthly utility cost, but still have motivation to keep their costs in check.
Darryn
user 9639392
Edmonton, AB
Post #: 1
Hi Chris,

As you can see by the replies, it can be done whatever way you prefer.

Personally I prefer to pay utilities myself and then build that into the rent so that the tenant only has one monthly payment for their place.

I did a blog on basement suites a couple of years ago. See
Basement Suites

Best Regards,
Darryn
Chris
user 28175602
Edmonton, AB
Post #: 2
Thanks all, appreciate the info and good blog Darryn!
Mike & Tracey H.
user 48020722
Edmonton, AB
Post #: 1
Hi cris. You may also want to keep them your name, and pay a base rate and charge them for over that, basically a cap. Of course base rate is built into rent, that way they know cost of being a energy glutin
A former member
Post #: 17
Hi,

I have a house that's on the market for sale now and it has a basement suite. The house only had one meter but since I lived there, I made the rent in the suite include utilities because it was easier to deal with. The tenant would write me 12 post-dated cheques and I would be done with it for the year. But if you don't intend to live there, splitting the utilities would be easier between the top and bottom floor.
MonaLisa G.
user 12362500
Etobicoke, ON
Post #: 57
Chris,

Are you aware of forgivable grants available to furnish
your basement? You can have 2 separate meters for hydro and furnace .
Guess what? This can be legal basement apartment.

Would you like to receive a copy of top 20 Grants and Rebates for
Canadian Real Estate
? Send your request to gifts at WorldWealthBuilders.com


Cheers!

Mona Lisa Grey
www.preigCanada.com | www.WorldWealthBuilders.com/live
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