• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Facebook
  • Twitter
  • YouTube

Owner Login | Tenant Login | 323-255-9400 ext. 4   GET A QUOTE

Los Angeles Property Management Group offering residential, luxury, and commercial property management in the Los Angeles area

Los Angeles Property Management Group

Property management in Los Angeles & the Valley, done right.

  • Services
    • Residential Property Management
    • Luxury Property Management
    • Commercial Property Management
    • Get A Quote
    • Why Agents Trust Us
  • Why Choose LAPMG
    • Mission Statement
    • Recent Reviews
    • Awards and Recognition
    • Our Team
  • Articles
    • David Crown in Forbes
    • Case Studies
    • Industry Blog
  • Areas Served
  • Careers
  • Contact
    • Contact Us
    • Portal Logins
    • Prospective Tenants
    • Our Team
    • Owner FAQs
    • Resident FAQs
    • Privacy Policy

3 Ways Utility Efficiency Increases Rental Profits

March 8, 2021 LAPMG

3 Ways Utility Efficiency Increases Rental Profits

The lease agreements of most rental properties require landlords to take care of water and sewer utility charges. Meanwhile, tenants can pay for the electricity, natural gas, internet/phone/cable bills. However, landlords can also work out lease agreements where they can pay all the utility bills of the rental property and get the reimbursement of those expends through the rent.

When landlords are responsible for all the utility outlays, they get in a good position to increase their rental profits by improving utility efficiency.

In this post, we will walk you through how you can improve utility efficiency to subsequently increase rental profits because fewer operating expenses mean better margins.

1.    Efficient Water Consumption Means Lower Water Bills

Utilities in different states and cities use different parameters to bill residential consumers for water.  Apart from the fixed service charges, they also bill consumers based on the amount of water they have used. This water consumption is usually measured in gallons or CCF or HCG (centum or hundred cubic feet). You can take several measures to cut down the property’s overall water consumption without compromising any need.

Switch to Low-Flow Water Fixtures: By replacing your old toilets, faucets, and showerheads with their low-flow counterparts, you can save hundreds and thousands of gallons of clean water and a good amount of utility bill every year. Just switching to low-flow toilets in a single-family housing unit can reduce its annual water bill by $230. Since low-flow design doesn’t affect the performance of water fixtures, the tenants won’t be complaining about anything whereas you can save the bills.

Reduce the Water Requirements of Maintaining the Landscape: Good landscaping features improve the property’s value and let you fetch good rents. However, maintaining it can also cost you a lot. For instance, traditional vegetation-based landscaping requires loads of water. You need to be creative to reduce the water needs of the landscaping while making sure that you don’t slump the curb appeal of your property.

  • Consider setting up a “drought-tolerant” garden. You can find many low-water plants for that.
  • Remove the grass strips and overall grassed surface on the curb. You can use gravel and bricks to renovate your exterior in place of grass to rule out continuous water requirements.

2.    Efficient Power Consumption Means Lower Electricity Bills

We all know how the total power consumption of the house can significantly increase your utility expenses. You can reduce your power consumption while using the property yourself. But, how can you reduce the electricity usage of your tenants without being intrusive? Some things you can do to improve power efficiency without interrupting the amenities and experience of tenants.

  • Replace all the conventional lighting fixtures with LED alternatives. They use tremendously less power than traditional incandescent and fluorescent light bulbs.
  • Insulate the interior spaces so that the HVAC system doesn’t have to work extra.
  • Install programmable thermostats with the air conditioning units.
  • Replace old, worn-out outlets and fixed electrical appliances

Carry out an annual energy audit of your property to ensure you can maintain maximum possible power utility efficiency.

3.    Efficient Natural Gas Consumption Means Lesser Gas Bills

Efficient use of gas at your property can account for a good saving on utility bills and ensure a better profit margin on rents. Let’s take the example of a traditional natural gas-powered water heater. It can be responsible for one-fourth of your total utility bill during winter. If it is feasible, replace it with a heat pump water heater. This heater will save you considerable costs while keep providing hot water to the tenants. The feasibility of installing this heater depends on your region and its climate.

Conclusion

Landlords can improve their rental property’s overall utility efficiency by focusing on the three things discussed above. The efficiency measures we have discussed in this post are great in the sense they can help you reduce your utility bills but without lowering the quality of service to the tenants.

Author

  • LAPMG

    View all posts

Filed Under: Property Management Education, Residential Properties Tagged With: los angeles landlords, Property Management, real estate

Primary Sidebar

    PROPERTY OWNERS: CONTACT US FOR A FAST FREE QUOTE

    (This space is not for tenant contact. Check out our listing page.)







    Loading...

    Footer

    Award-winning management means:

    Best property management in Los Angeles - Our Awards

    • Maximum profits.
    • Responsive service.
    • Vacancies filled quickly.
    • Accurate understandable monthly reports.

    Proud Members of:

    AAGLA AOACA AIR Commercial Real Estate Association Member BOMA 2024 Member of Forbes Real Estate Council Great place to work

    Contact Information

    
    

    YouTube LAPMG   Facebook LAPMG   Twitter LAPMG   Los Angeles Property Management Group on Google Maps

    Los Angeles Property Management Group
    10960 Ventura Boulevard Second Floor
    Studio City, CA, 91604
    Phone: 323-255-9400
    Contact Us

    Los Angeles Property Management Group is a licensed real estate broker, State of California, DRE License Number 01931033.

    Los Angeles Property Construction Inc. is a licensed contractor, State of California, Contractor State License Board Lic. # 1050649.

    Kyle Crown DRE License #0193638
    David Crown DRE License #01157354

    © 2025 Los Angeles Property Management Group · Privacy Policy
    10960 Ventura Boulevard Second Floor, Studio City, CA 91604 · Phone: (323) 255-9400
    LAPMG is committed to ensuring digital accessibility for people with disabilities. We are continually improving the user experience for everyone and applying the relevant accessibility standards. If you have any issues, please contact dcrown@lapmg.com.