How Do I Deal With Shared Utilities?
I am currently looking at a legal two family house. There is a bonus apartments in the basement and attic. These bonus apartments are of a good size with there own kitchens and full bathrooms. My question is how do I rent these units? The basement apartment shares utilities with the 1st floor apartment and the 2nd floor shares attic apartment.
There are two gas electric meters but four apartments.
Whos name will the untilities go under? I could put untilies in my name and charge more on rent. My fear is that if utilities are included tenants tend to leave lights on all day and put heat on full blast with windows open.
Has anyone else dealt with this situation? I think town will not appove to convert to four family house.
How can I go about this situation?
[ Edited by deonharrison on Date 07/23/2004 ][ Edited by deonharrison on Date 07/23/2004 ]
You said that it was a legal 2 family but then you said there was these bonus apartments which in turn if I understand correctly is you want to rent it as a four family or 4 seperate tenants if that is the case and it is not registered with the city as beening a 4 family the city can and will file violations against you. God forbid there is a fire in one of the units we're talking major law suites then. This happen in several towns this past year in NJ. If you want it to be a four family take the proper steps and save yourself problems later on. Just my opinon.
I have a two fam with shared gas among all units. Your options are either charge more rent and say Heat/Gas is included. You could also put a cap on it and say that heat is included up to a certain amount and beyond that amount the tenants must split the difference.
The last option is just to tell the tenants that each months bill is split equally between all tenants and that if they sign the lease, they are agreeing to that term.