How To Increase Rental Profits With Prepaid Electricity Metering
Topics: prepaid meters, pre paid meters, pre paid electricity meters, metering
Metering of electricity with secondary prepaid electricity meters is an excellent way for property investors, landlords and letting agents to avoid the risk of having to pay electricity utility bills, when tenants don’t pay or one is faced with constant disputes on electricity bills.
However, feedback from the field shows that prepaid electricity meters also have other benefits. Customers who have installed prepaid electricity meters, in their rental units, are telling that one of the interesting benefits of using prepaid meters is that they are directly reducing their tenant turnover.
When landlords installed prepaid meters it was with the view of reducing risk. The meters achieved this. Then, with time, landlords found that the number of disputes over electricity bills was almost completely eliminated. With fewer disputes, our tenants have been more satisfied with services. Soon after, landlord started noting that more of our tenants were renewing their leases. Normally, in some areas most tenants would not renew.
Landlord are becoming convinced that the improvement relations has been brought about because of the prepaid electricity meters and, as a result, is one of the main reasons more tenants are renewing their leases. There was no other change to the properties other than the addition of the prepaid meters in certain areas, and all of the sudden the vacancy rates are dropping and so is the turnover of tenants each year.
Building a good tenant base is a key factor for real estate investors and letting agents alike. They want to keep good tenants for as long as they can. The more good tenants an investor or letting agent has and the longer they remain as tenants, the more profitable their buy-to-let or letting operation is.
Costs of advertising and vetting tenants are one of the main costs that chew into the profit made over the rental period. When a rental unit has a high tenant turnover, these costs must be frequently amortized over the period of each lease agreement. It stands to reason that if landlords and letting agents can reduce their tenant churn, that they will incur fewer marketing and vetting costs, and the overall profit from the rental lease will be increased.
Field research conducted shows that tenants residing in rental units fitted with a prepaid electricity meter, are generally happier with the financial arrangement of electricity bill. The main benefit reported by tenants is that, because of the meter, they are able to monitor exactly how much electricity they are consuming.
Tenants also point out that they like knowing how much they are spending as they are paying in advance and do not have to dread receiving a large electricity bill at the month end.
Sean Wheller is the founder of www.PrePaidMeters.co.za, a PrePaid Electricity Meters provider in South Africa, dedicated to create efficiency in metering electricity for the benefit of the tenants and landlords.
Previous Articles Highlighter:
Your Credit Score: What They Do And What It Means To You (1)
One never knows when a financial opportunity will present itself and you want to be ready, so it is a must that you keep your credit rating up there on the high side.
Tips When Choosing Your Credit Cards (2)
A credit card can be a two-edged sword. They can be an excellent tool for money management and budgeting and can often help to simplify tracking household expenses, especially when you can get some of the special credit card deals.
Information About Student Loan Consolidations (3)
Make life as easy as you can for as long as you can. If your school offers something like this, get more information and try to get involved. Many times when a student gets a loan he or she may realize that the interest rates are extremely high and since the student has to pay interest on their loan every month it's almost a given that they will either miss a month or be short, this can be a really horrible burden for them to run into because they will then have to pay a fee and their rates may go up even higher!
Find And Compare The Best Secured Loans (4)
Coincidentally, a third of over 45s remained with their existing supplier when choosing their current mortgage deal. However, this proportion fell to 19 per cent for borrowers aged 24 and under.
The Impact That Psychology Has On Forex Traders (5)
Discipline is everything when it comes to making money from forex trading. If you don't have discipline then you will not succeed. It's as simple as that. So you have to have a firm grip on any external influences that may affect your trading.
Property Taxes, Way Too High On Your Home? (6)
Currently churches and non-profit organizations, like the Salvation Army, are exempt from paying property taxes. In conclusion, you need to look around in your area and determine how many other houses are from about the same plan as your home, construction wise.
List Your Property To Let Online (7)
It is also helpful to note the availability of convenience stores, hardware stores, cafe's, bakeries, malls, and dry cleaners. This information is sure to make your flats to rent more appealing.
How To Live Debt Free (8)
When you are struggling just to make minimum monthly payments, paying off your debt entirely seems very far out of reach. Don't get discouraged though, anything is possible if you are willing to make the sacrifices it will take.
The 2008 World Financial Crisis (9)
Both home buyers and loan lenders were eager to make cheap money. It is the aftermath of the global three-ring circus of leverage. Hedge funds, investors and banks borrowed to buy more debt, stocks and commodities than they would have bought with their hard earned earnings.
Britain Has Binged On Debt (10)
It warned that in the coming years, the average taxpaying family will pay around 4,000 pounds to rebalance the national debt, equivalent to 100 billion pounds in tax contributions every year.
A Guide To Charity Minibus Insurance (11)
For this permit the driver must be an unpaid volunteer. There are three types of minibus insurance available: Comprehensive, Third Party Fire and Theft, and Third Party Only. Third Party is the minimum level of insurance cover as required by law.
IRA Investment Options: Traditional Vs. Roth IRA (12)
Earnings can be withdrawn after five taxable years and once the plan holder has reached the age of 59 1/2 or under circumstances such as disability, and death, homebuyer expenses, higher education expenses, and under other circumstances.
Learn Forex Trading - The Top 5 Reasons You MUST Do This Before Investing In The Currency Markets (13)
And finally you will realize it not that difficult and will start making money. After a while that little bit of profits will turn in to large capital gains.
Easy To Get, Hard To Let Go (14)
Like many thousands of others who had very little saved up, they could not fail to notice two things: money was simple to borrow, and houses went up in value by leaps and bounds.
Online Forex Trading Is The Only Way To Invest In The Markets And Is Blasting Off World Wide (15)
Online Forex trading is certainly growing in popularity for one central reason, which is that is provides a very quick and reliable path to wealth if certain proven techniques are under taken.
Tips For Finding A Realtor (16)
You can also attend open houses in your community to meet a variety of agents face to face. If you decide you like a particular agent, you can talk to him or her about handling your property sale or purchase as well.
Learn Some Great Health Insurances Advantages (17)
The results suggest caution in efforts to limit or eliminate the tax subsidy. A group health insurance can be obtained by any small business that has as few as two employees to more than fifty.
Four Steps To Create A Personal Budget (18)
Keep up on your Personal Budget Once your personal budget is established, it is important to keep up on recording expenses and tracking your progress each month. As you catch up, you can also use that time to pay bills and balance your checkbook.
Five Tips For First Time Southern California Real Estate Buyers (19)
This can make it difficult since you've probably forgotten many of the houses since visiting them. You should narrow down your selection of houses as you go. As a matter of fact, it is a good idea to only have three houses in mind at any given time.
Tips For Finding NJ Real Estate (20)
The public transportation system makes it easy to commute into the city, and the upscale neighborhoods filled with eastern charm that compose much of the state's real estate market make this an enticing prospect indeed.
Newer Articles Highlighter:
Economy Hurting You? Take Control Of Your Financial Future (1)
There are thousands of people out there promising to show you how to get rich working from home only 5 to 10 minutes a day. They are liars. They are just looking to scam you out of your hard earned money.
5 Reasons Why Real Estate Agents Are Not Like Car Salesmen (2)
There is no crossing of fingers and hoping all works out because not only is the real estate agent's reputation on the line, but also his status as a licensed agent.
Discover Novato California: A Family Friendly Town In Marin (3)
One of the perks to raising your children in Novato is that there are over 27 parks (3 of which are city parks) throughout the entire city. This is one reason why you get the rural experience while living in Novato, because no matter where you live you will probably be within walking distance of a fabulous city or state run park which of course leads to plenty of healthy entertainment for both children and adults.
Using Credit Card Loans To Alleviate Debt (4)
The helpful issue of the credit card loan is that all the various payments are now reduced to one amount, which frees up a lot of time and effort of having to attend to various accounts.
Insuring Green Cars: What To Look For (5)
For an environmentally conscience individual, this may be the best solution. As with any consumer product, look around at the various types of green insurance policy's that are being offered to find the best fit.
The Best Way To Lock In Your Permanent Interest Rate As An Owner Builder (6)
And, in this way, the owner builder can take advantage of today's relatively low interest rates. Looking at the big picture, specifically the country's long term history of interest rates, you can get a 30 year fixed mortgage today at an interest rate that is pretty close to the lowest rates ever available.
Internet Basics: Protecting Your Identity Online (7)
First, those who regularly check their statements are more aware if one does not arrive each month - an indication of possible ID theft. Secondly, looking over statements helps the account holder ensure the entries are legitimate.
Bankruptcy Chapters - Learn All 6 Bankruptcy Chapters (8)
The business makes a plan to repay their debt in order to stay in business. Chapter 12 bankruptcy is intended for family farmers and family fisherman who have normal income but high debt.
Is January 1st The Best Time To Incorporate Your Small Business? (9)
From a tax savings standpoint, any time is the best time. The sooner you incorporate, the sooner you will start putting more money in your own pocket and less in Uncle Sam's.
Financial Adviser Attempts To Recover 100 Billion Pounds For UK Clients (10)
To summarise, there are thousands of people in the UK who have contributed to pensions, and are contracted out of receiving second state pension benefits. They are unaware that they will not be entitled to the second state pension, but they are also unaware of the current value of their pension fund due to National Insurance contributions being paid into a pension scheme they have forgotten about from years previous.
Loans For Credit Card Debt (11)
This type of credit card debt consolidation loan requires you to pledge a security e.g. the home owned by you or something else that has a value which is comparable to your credit card debt consolidation loan amount.
Living In Noe Valley: A Gem Of San Francisco Neighborhoods (12)
The Dubliner is a local pub that many locals describe as having a "glorious" beer selection. Dolores Park is enjoyed by outdoor types, while being close to the Mission is consistently appreciated by residents who are enjoying living in Noe Valley.
The Top 3 Reasons You Need A Forex Software Trading Systems To Enjoy Consistent Profits (13)
You have heard the old saying, "To make money, it takes money." It certainly applies here and for you to make money in the currency markets you need to invest in yourself and your tools.
Working Women--Four Steps To Financial Independence (14)
Make a Commitment - Before you can hope to achieve financial independence, you have to want to achieve it. Make a contract with yourself to do whatever is necessary to accomplish the goal, set a deadline for it, and then establish milestones along the way.
Shopping For Land In Maine? Check Out These Tips (15)
Some insurance companies will not offer homeowner's coverage outside of city limits, making it more challenging to get the coverage you need. A phone call to a couple of agencies should answer your insurance questions.
When Is Debt Consolidation The Right Choice? (16)
Many of us stop looking at our statements because it is too hard to face the raising balances. You will never get out of debt unless you know how deep you have gotten yourself in.
Safety Tips To Avoid A Caravan Insurance Claim (17)
This only advertises that fact that nobody is present, and is more likely to attract attention. Instead, make sure that curtains are left open but all items of value are safely stowed away.
Business Line Of Credit Underwriter Secrets Revealed (18)
Remember, the lender is in business to make money and the lender only makes money if you keep borrowing and paying on time. As long as you are a good paying customer there is absolutely no reason that a lender or bank would want to terminate that relationship!
Busting Six Credit Report Myths (19)
The higher the score, the less risk a person represents. Credit reports represent a person's financial health and therefore can be an important asset to securing future loans. However, there are many misconceptions in existence regarding credit reports and scores.
Making Money By Buying Foreclosed Homes (20)
Foreclosures come in all shapes and sizes. Despite the growing number of foreclosures across the country, there are few bargains to be found at auctions. But it's equally important to be financially prepared for the process of buying foreclosures because it's usually a liquid and fast-moving transaction.
Permalink to How To Increase Rental Profits With Prepaid Electricity Metering