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URL:  https://boards.fool.com/inparadise-quotlooking-for-an-idea-of-what-i-34221438.aspx

Subject:  Re: Separating Utilities Date:  6/2/2019  1:30 PM
Author:  JAFO31 Number:  14241 of 14285

inparadise: "Looking for an idea of what I would likely have to spend to separate utilities out for a duplex. We are talking an over/under in a moderate cost market, separating out electric, water and gas. . . . Really looking for a WAG, but have no concept of whether it would be closer to $5K or $50K. Looking at buying a house with 2 family zoning but no separate utilities, so really can't call for an estimate since I don't own. Will be running the numbers on just the SFH but want to have a clue as to the potential."

A coupe thoughts.

You are talking about have three new meters installed - electric, gas, and water. Assuming that the current meter locations are reasonably accessible and that there is room for readily available for three new meters, I suspect that it would be closer to your first number (5k) than you second number.

No direct experience, but based on why my clients tell me, a new meter should be in the several hundred dollar range, plus installation (collectively x00 - to 29xx), and in your case plus cutting the existing lines and installing some new connections and a few feet of lines into and out of the new connections. Times 3 in your case.

The foregoing assumes that the lines to the upstairs and downstairs diverge near the existing meters and not elsewhere in the house, and that one separated never really merge again. Depending on how the lines are installed, it may potentially be a much bigger job if new lines need to be run into one of the units. My concern given that it is an upper/lower, that the lines are not run by unit but run up from the lower unit to the upper unit in multiple locations and that a single new meter for each utility would not suffice.

I know you were once (not sure if you still are) a realtor and that you know how to write contracts (and/or use a lawyer) but most contracts I see have an inspection period, and you could certainly use your inspection period to get the relevant trades in to inspect and at least give a ballpark figure for you calculations. A properly written inspection clause and contingency would give you an out if you absolutely need to separate and the estimates are too high.

Regards, JAFO

Disclaimer

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