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3 Ways Property Managers Can Benefit From Tenant Submetering
Landlords: what if we told you that you could make a tax-deductible investment that increased your property value, reduced operating costs, and completely eliminated a major uncontrollable expense? Sounds like a cheesy infomercial, right? Actually, it’s submetering.
Traditionally, utility companies use master meters to measure how much electricity, water, and gas is delivered to a property. If you own a complex with many tenants, these bills are usually divided evenly by the total number of apartments or the square footage of each unit. Submetering eliminates this uncertainty by allowing you to accurately monitor the consumption of each resident.
Here are a few ways that submetering can benefit you, the property owner:
1. Fair Billing
Fair is not the same as equal. When you bill all of your tenants equally for utility usage, it is only fair if every person consumes the exact same amount of electricity, water, and gas (which is highly unlikely). Submetering ensures fair billing because it prevents a truck-driving bachelor who isn’t home for three weeks every month from paying the same amount for utilities as a family of five.
2. Energy Conservation
When you begin to bill tenants for the energy that they use, they have more of an incentive to reduce their consumption. For example, if you live in a complex with 49 other units, and you cut your unit’s energy consumption by $100, you only save $2 if everyone is billed equally. However, you will reap the full $100 of savings if you are being submetered, because you are being fairly charged for only the energy that you consume. When all tenants become more energy-conscious, your facility will see a massive drop in its overall power consumption.
3. Improve Marketability
Submetering leads to less power consumption, lower rent, and happier tenants, ultimately improving your facility’s marketability. In the real estate industry where competition is stiff, property owners are looking for any advantage they can get. You can use submetering and its many benefits as selling points to help you close your next deal on a new lease.
Property owners and managers all around the world depend on Electro Industries for all of their power monitoring and submetering needs. Our equipment is specifically designed to help your facility save money, and all of our products are built to last. Visit our website for more information, or give us a call at (866) 928-7908.