How to Help Tenants Save on Utility Bills
As a landlord or property manager, it can be challenging to attract and keep great tenants. With car payments, commutes, rent, and all the other bills people must pay to stay alive, life can get pretty expensive. So, great tenants are always looking for the best deal.
With so much competition on the market, it’s absolutely essential to set yourself apart. So, what can you offer that other property managers don’t?
Lower Utility Bills Will Increase Tenant Retention
If you’d like to attract new tenants, you need to focus on saving them as much money as possible without compromising your bottom line. One of the best ways to do that is by helping them lower their utility bills.
Due to rising electricity costs, new tenants are prioritizing energy-efficient homes. People want to know that they can run their air conditioner or heater without emptying their bank account. If you want to increase tenant retention, you should start by offering a possible solution to high utility costs.
7 Ways to Help Tenants Lower Utility Bills
Making your rental properties more energy-efficient may sound expensive and intimidating, but it doesn’t have to be. In fact, when it comes to energy costs, a little goes a long way. Here are seven great ways to help tenants lower their utility bills that won’t break the bank:
1. Install Energy-Efficient Appliances
After the HVAC system and hot water heater, appliances are the most significant drain on electricity. Refrigerators, washers, dryers, ovens, and dishwashers are just a few items in a home that are used regularly which dominate energy consumption.
Replacing these appliances with energy-efficient alternatives actually helps in two ways. First, energy-efficient appliances use less electricity, which saves money. Second, new appliances are always a huge selling point for prospective tenants.
2. Install Programmable Thermostats
Many people go to work all day, leaving their homes vacant. Obviously, they don’t want to come home to unbearable temperatures. Unfortunately, with a standard thermostat, the air conditioner has to run all day, even though no one’s there.
That problem is solved with a programmable thermostat. It allows tenants to adjust the temperature of their homes remotely, or on a schedule.
3. Switch to LED Lighting
LED light bulbs use 75% less energy than incandescent light bulbs and last up to 25 times longer. Providing and recommending LED lighting for your tenants will help them reduce their utility costs. Since they last so long, it’ll also save them money on light bulbs as well.
This may seem like a small thing, but minor changes can add up to make a huge difference.
4. Install Highly Insulative Materials
One reason that heating and cooling are so expensive is that homes aren’t always properly insulated. However, the use of energy-efficient windows, doors, flooring, and adequate insulation can go a long way to keeping a house cool during the summer and warm during the winter.
A properly insulated home will maintain the desired temperature inside. Tenants shouldn’t have to blast their air conditioner 24 hours a day to stay comfortable.
5. Use Radiant Heating Methods
Radiant heating is an incredibly innovative technology that can significantly reduce a tenant’s need for HVAC heating.
There are two types of radiant heating commonly used in residential spaces: hydronic and electric. Hydronic heating utilizes hot water that runs through tubes installed in the floors and walls. Electric radiant heating utilizes electric cables installed in the floors and walls.
If you’re trying to reduce utility costs, we recommend the hydronic system. Both are much less expensive than a conventional furnace.
6. Properly Maintain the HVAC System
If you take care of the HVAC system, it will run more efficiently, ultimately resulting in lower utility costs. Just like all things, a little maintenance goes a long way. In fact, it’s wise to have the HVAC system checked out regularly by a professional.
Air filters should also be replaced every 30 to 90 days, depending on the filter. The more dust and debris that’s lodged inside, the harder the HVAC system has to work to cool down or heat up your home. As a property manager or landlord, you should offer guidance, instruction, and assistance to help tenants maintain and optimize the HVAC system.
7. Replace Old Boilers and Water Heaters
An old boiler or hot water heater can drain electricity and make utility costs skyrocket. Why? Well, for one, energy-efficient technology has exploded in the last decade. It just wasn’t as important as it is today, so manufacturers didn’t prioritize it.
Second, the older and more used something is, the more energy it requires to do its job. The more power it uses, the more expensive it is. It’s as simple as that. Do right by your tenants and make sure they have the newest and most efficient technology on the market.
Keep Tenants Around with Lower Utility Bills
The best way to retain great tenants is to offer them something other property managers don’t. These tips will help make your rental properties more energy-efficient and lower your tenants’ utility bills. If you can prove that you’re committed to saving them money, then you’re already a step above the rest.
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