NSW Seperate water connection for grannyflat?

Discussion in 'Property Management' started by San2018, 1st Jul, 2020.

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  1. San2018

    San2018 Well-Known Member

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    I was enquiring my PM to see if they have recovered water usage charges from the tenant. She came back with the following comment. I have main house and granny flat on a single title.

    ""Unless both properties are separately metered through Sydney Water won’t be able to charge tenants usage""

    How are you guys dealing with this kind of situation in Sydney if you have a granny flat.

    Have you organised new Sydney water meter, if yes how much does it cost.
     
  2. Scott No Mates

    Scott No Mates Well-Known Member

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  3. San2018

    San2018 Well-Known Member

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    Thanks Scott. I think it's expensive solution.

    @property_geek do you mind sharing how much it's costed roughly for plumbing.

    I am thinking of an alternate solution, I.e tell tenant that don't pay water usage bills and pay slightly increased rent to cover water usage charges? Is it acceptable and any other ideas?
     
  4. Hayley Cannon

    Hayley Cannon Well-Known Member

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    All of the landlords I deal with have now just included the water in the rent.

    Some have opted to increase the rent however most have held off on an increase due to COVID-19 but will increase in the future
     
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  5. Paul@PFI

    [email protected] Tax Accounting + SMSF Business Plus Member

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    And if you remeter and replumb for a new meter it may not be acceptable either. You rented to them without a charge for water and cant then just add it. Its something to do between tenants but often isnt viable. It should have been considered pre-construction. Depends on many factors as the footpath to the GF needs to be considered.

    You cant charge for water, power, internet, rates or land tax in other ways. It would end up in a tribunal. All you can do is consider if the rent needs adjusting and in this climate that may be hard in many areas.
     
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  6. property_geek

    property_geek Well-Known Member

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    depends on how far is the granny flat from main meter.
    see images:
    upload_2020-7-4_17-11-58.png

    upload_2020-7-4_17-12-55.png
     
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  7. San2018

    San2018 Well-Known Member

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    Thanks property geek for sharing details.

    I might adjust the rent instead of investing $2K. Will discuss with PM.
     
  8. Tom Rivera

    Tom Rivera Property Manager Business Member

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    I think you should go ahead and have the meters installed- some of these meter installs are incredibly difficult and expensive but $2k is pretty reasonable.

    I've personally found in my market that tenants wont pay a higher rent because water is included.

    If you're expecting a combined bill of around $300-$500 per quarter, you will be about to recoup the installation cost in 1-2 years.

    The sooner you do it, the faster you get it back!
     
    Last edited: 9th Jul, 2020 at 4:32 PM
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  9. San2018

    San2018 Well-Known Member

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