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fandi

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Posts: 1
Reply with quote  #1 

Hello All,
I live in Southern California. With City permit, I had the garage converted into accessory dwelling unit (ADU). I plan to live in this ADU and rent the main house.
Please help me with these questions:
1) Is it doable to install submetering for Electric (SCE), Water (City) and Gas (So Cal Gas)? This is only for the ADU usages and those companies/city don't need to know.
2) Even with those submeters installed, I'm not sure the tenant (who pay the utility bills of the main house) would have time/willingness to go read the submeters every month. Would a lump sum be nogotiable in this case? In other words, would you recommend a lump sum to make it easy? Of course it depends on the tenant whether they feel comfortable with that or not.
Thanks a lot.

lordofthering

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Posts: 6
Reply with quote  #2 
There are different way to achieve your goal with tenant:

--> Try to divide total bill by number of people lives in two separate unit. Most of the time, I am able to use this method to divide. Most likely your existing tenant will not agree on anything other than separate since he is already there. It is normal tendency from any tenant. New Tenant will agree with this condition without any doubt since he wants your apartment for rent.
--> If By number of people bills is coming out unreasonable, you can do percentage by different Utilities or mix approach. e.g. for Water, by Number of People will work. For Electric and Gas you can decide percentage based on size of two units.

Making it separate unit may turn into large expense which you may not realize for years.
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