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Becoming a landlord - who pays what bills?

moscatojuices

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Feb 21, 2022
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I snagged a foreclosure condo.

The condo fees which I pay as the landlord includes gas for the tenant, and the tenant will pay for his own electricity, cable etc. But who pays for their water usage?

Back in Australia a water bill for a rented property includes the "connection component" which the landlord pays and the "usage component" which the landlord charges to the renter.
 
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Ponga

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I snagged a foreclosure condo.

The condo fees which I pay as the landlord includes gas for the tenant, and the tenant will pay for his own electricity, cable etc. But who pays for their water usage?

Back in Australia a water bill for a rented property includes the "connection component" which the landlord pays and the "usage component" which the landlord charges to the renter.
Congrats!

I believe that if renting out a single family dwelling, the `landlord' could certainly ask the tenant to pay the city bill (water and curbside collection), but not sure that I've ever seen that for a condo. Is there a strata for your new property?
 
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canuck78

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Jun 18, 2017
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I snagged a foreclosure condo.

The condo fees which I pay as the landlord includes gas for the tenant, and the tenant will pay for his own electricity, cable etc. But who pays for their water usage?

Back in Australia a water bill for a rented property includes the "connection component" which the landlord pays and the "usage component" which the landlord charges to the renter.
Normally landlords pay water bills. Water bills are not easily transferable to new tenants like a cable bill for example and are associated with ownership.
 
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moscatojuices

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Feb 21, 2022
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Congrats!

I believe that if renting out a single family dwelling, the `landlord' could certainly ask the tenant to pay the city bill (water and curbside collection), but not sure that I've ever seen that for a condo. Is there a strata for your new property?
Thanks, yes condo fees of $400/m, just not sure if that includes water or if water comes from taxes.
 

Kaibigan

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Dec 27, 2020
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I snagged a foreclosure condo.

The condo fees which I pay as the landlord includes gas for the tenant, and the tenant will pay for his own electricity, cable etc. But who pays for their water usage?

Back in Australia a water bill for a rented property includes the "connection component" which the landlord pays and the "usage component" which the landlord charges to the renter.
I can't say for all condos, I only have experience from owning one in BC that is rented. The water is included in the strata fees. I would not expect to see many (if any) condos where water is separately metered. In many strata buildings here, even gas is not separately metered. It's covered in monthly strata fees. Everyone contributes.
 

moscatojuices

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Feb 21, 2022
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I can't say for all condos, I only have experience from owning one in BC that is rented. The water is included in the strata fees. I would not expect to see many (if any) condos where water is separately metered. In many strata buildings here, even gas is not separately metered. It's covered in monthly strata fees. Everyone contributes.
No worries, different than Australia where every single line item is separately metered and typically charged or recouped from the tenant.
 

Kaibigan

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Dec 27, 2020
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No worries, different than Australia where every single line item is separately metered and typically charged or recouped from the tenant.
Not worried. Just pointing out that things here are probably different than in Australia. Some differences in U.S. as well. I have a duplex house in Los Angeles. It was 2 electric meters, 2 gas meters, but only one water meter. So I pay the water for the whole house. Water in LA is not cheap. But then, neither are the rents.
 

steaky

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I can't say for all condos, I only have experience from owning one in BC that is rented. The water is included in the strata fees. I would not expect to see many (if any) condos where water is separately metered. In many strata buildings here, even gas is not separately metered. It's covered in monthly strata fees. Everyone contributes.
Not sure if water in BC is separately metered, but residential utilities (water, sewage, waste collection) fee is billed separately.
 

Kaibigan

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Dec 27, 2020
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Not sure if water in BC is separately metered, but residential utilities (water, sewage, waste collection) fee is billed separately.
In some BC locations, local municipalities meter and charge for water. I have never heard of condos having separate meters. I would not think a 100-unit condo building would have 100 meters, but maybe. The rental condo I own in Victoria has no separate meter. I do not pay a water bill. In fact, I am not sure if the strata corporation pays the bill and it's reckoned into our monthly strata fees, or if it's part of the city taxes each unit owner pays.

I lived in Vancouver and owned my own home and rental houses there for many years. There were no water meters. My guess is same today, unless the city has retro-fitted every house and other building with meters. Water was simply a cost incorporated into annual property taxes. Taxes there, and everywhere else in BC, are set according to the assessed value of each house and lot, or other kind of property. The more the government says your place is worth, the more you pay. I have never really agreed with that approach. I always lived in a nice house on the city's West Side. An equivalent house on the East Side (i.e., east of Main Street), would be worth about half of the West Side house, simply because of location. The net result? I paid twice the property tax of the East Side guy.

In Vancouver, like most places, property tax covered the cost of municipal services, including schools, road maintenance, street lighting, garbage collection, police and fire protection, libraries, water, etc. But why should I pay double, just because I elected to spend my money on a nice house instead of nice cars, expensive vacations, fast women, etc.? Just because I lived on the West Side did not mean that I sent twice as many children to school, used the roads twice as much, threw out twice as much garbage, called the police and fire departments twice as often, etc. Seems that if you choose to spend your money on a nice place, you are deemed to be rich and punished accordingly. The same applies to BC's usurious property transfer tax.
 
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Mounat

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Sep 15, 2022
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In some BC locations, local municipalities meter and charge for water. I have never heard of condos having separate meters. I would not think a 100-unit condo building would have 100 meters, but maybe. The rental condo I own in Victoria has no separate meter. I do not pay a water bill. In fact, I am not sure if the strata corporation pays the bill and it's reckoned into our monthly strata fees, or if it's part of the city taxes each unit owner pays.

I lived in Vancouver and owned my own home and rental houses there for many years. There were no water meters. My guess is same today, unless the city has retro-fitted every house and other building with meters. Water was simply a cost incorporated into annual property taxes. Taxes there, and everywhere else in BC, are set according to the assessed value of each house and lot, or other kind of property. The more the government says your place is worth, the more you pay. I have never really agreed with that approach. I always lived in a nice house on the city's West Side. An equivalent house on the East Side (i.e., east of Main Street), would be worth about half of the West Side house, simply because of location. The net result? I paid twice the property tax of the East Side guy.

In Vancouver, like most places, property tax covered the cost of municipal services, including schools, road maintenance, street lighting, garbage collection, police and fire protection, libraries, water, etc. But why should I pay double, just because I elected to spend my money on a nice house instead of nice cars, expensive vacations, fast women, etc.? Just because I lived on the West Side did not mean that I sent twice as many children to school, used the roads twice as much, threw out twice as much garbage, called the police and fire departments twice as often, etc. Seems that if you choose to spend your money on a nice place, you are deemed to be rich and punished accordingly. The same applies to BC's usurious property transfer tax.
Agree with you (though not on the fast women part!). The east side should pay equal if not more taxes for services. But therein lies the curse of property taxes. When I briefly lived in Kits in the 90s, the roads were cleaner and likely police/fire calls were fewer than the east side. Your post reminded me of my landlord back then. :)
 
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canuck78

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Agree with you (though not on the fast women part!). The east side should pay equal if not more taxes for services. But therein lies the curse of property taxes. When I briefly lived in Kits in the 90s, the roads were cleaner and likely police/fire calls were fewer than the east side. Your post reminded me of my landlord back then. :)
Why should the East side pay more property taxes? Even if you don’t have children at the moment you likely had children at a certain point in your life or used certain things covered by property taxes that not everyone else uses. Your portion of property taxes that go to something like schooling (if you don’t have children) is a negligible amount of your total property tax bill.
 

Mounat

Star Member
Sep 15, 2022
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Texas
Why should the East side pay more property taxes? Even if you don’t have children at the moment you likely had children at a certain point in your life or used certain things covered by property taxes that not everyone else uses. Your portion of property taxes that go to something like schooling (if you don’t have children) is a negligible amount of your total property tax bill.
My younger self says they shouldn't but now I clearly see the subsidizing of poorer areas by wealthier ones. In some sense, it is fair as wealthier residents "can afford" to pay more. In another, it creates resentment and possibly leads to smaller cities/villages incorporating to avoid sending their taxes to the "other side of the tracks", so to speak, as happens often in the USA. It's not an easy nut to crack but I see both view points. At this age, I lean slightly against my younger self.
 

Kaibigan

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Dec 27, 2020
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Why should the East side pay more property taxes? Even if you don’t have children at the moment you likely had children at a certain point in your life or used certain things covered by property taxes that not everyone else uses. Your portion of property taxes that go to something like schooling (if you don’t have children) is a negligible amount of your total property tax bill.
Actually, school tax in BC is not negligible. I have in hand at the moment a 2020 tax bill for a rural property on Vancouver Island. The assessed value is: land $286,000, improvements $377,000. The school tax (shown under "Provincial Services") is $1,207.46. Also under that head is "Police tax" of $71.54. The next largest item is AREA C STRATHCONA REG DISTRICT under "Local Services" and the charge is $580.75, followed by COMOX STRATHCONA HOSPITAL coming in at $358.52. The total tax bill is $2,808.06. So the school tax is close to 45% of that.

I am also looking at a 2022 tax bill for a Campbell River house. It includes a "Water User Fee" of $444 and a "Sewer User Fee" of $384.
 

Kaibigan

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Dec 27, 2020
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My younger self says they shouldn't but now I clearly see the subsidizing of poorer areas by wealthier ones. In some sense, it is fair as wealthier residents "can afford" to pay more. In another, it creates resentment and possibly leads to smaller cities/villages incorporating to avoid sending their taxes to the "other side of the tracks", so to speak, as happens often in the USA. It's not an easy nut to crack but I see both view points. At this age, I lean slightly against my younger self.
But the notion that "wealthier area" can afford to pay more does not necessarily follow. Some prefer to spend a lot of their income to live in surroundings they find agreeable. They will forego new cars, vacations, dining out, etc. to afford the house. But they are somehow defined as rich and able to pay a lot more tax. I know people with big bank accounts, stock market portfolios, various other investments and assets that don't attract tax the way houses do. I think the short answer it that it's an easy target to locate and tax.

I have watched retired people whose property tax bill consumes an ever-greater share of their modest incomes. I don't see getting taxed out of the home one worked hard for as being particularly fair.
 
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Mounat

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Sep 15, 2022
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Texas
But the notion that "wealthier area" can afford to pay more does not necessarily follow. Some prefer to spend a lot of their income to live in surroundings they find agreeable. They will forego new cars, vacations, dining out, etc. to afford the house. But they are somehow defined as rich and able to pay a lot more tax. I know people with big bank accounts, stock market portfolios, various other investments and assets that don't attract tax the way houses do. I think the short answer it that it's an easy target to locate and tax.

I have watched retired people whose property tax bill consumes an ever-greater share of their modest incomes. I don't see getting taxed out of the home one worked hard for as being particularly fair.
Agree with you again. A house is definitely an easy target to tax (and overtax). It can't be taken offshore, laundered or hidden from view. It's there for all to see. I get it, too, with the sacrifices some make only to become house poor. Like I said, it's a tough nut to crack. There's the social contract and the common good but there's also my $#&%^# wallet. That's why in south Texas here, I've contested my property taxes on one or more properties 20 out of the last 22 years. It's a game and local governments rely on homeowners just paying. The things I've done to lower my property tax bill in some years forced me to immediately take a shower after.
 
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