Heating in IP

[AndrewS]

As winter is approaching, it has come to my attention that the gas space heater in my IP is in need of either repair or replacement. I am wondering what the best solution to the heating needs might be.

I have had a tentative price on a replacment gas space heater of ~$2k. A gas wall furnace would cost ~$1k.

I was wondering about the acceptability of purchasing two column electric oil heaters for use by the tenant in the IP. These would cost approx $100 each.

Do others think that this is an acceptable provision of heating requirements for the tenant? There is a remote chance we might develop the site and demolish/remove the existing house and therefore I have some concerns over spending $2k on an new heater.

I would be interested in some feedback.

Thank-you

Andrew

 

[handyandy]

Hi AndrewS

Is there an expectation (lease condition ) or commitment that the space heater is part of the property and as such can reasonably be expected to be in a working condition? If there is a reasonable expectation then the tenant has a right to have the space heater repaired/replaced as part of his ongoing occupancy.

A similar situation occurs with a telephone installation where if a telephone jack exists then the tenant has a reasonable expectation that the phone is installed. If it isn't the landlord is up for the installation.

If I was the tenant then I would certainly want the gas heater to be operating as that is way more economical to operate than electrical heating.

What's the chance of scoring a good 2nd hand gas heater that can just plug into one of those bayonet floor fittings (if there is one). This may be a cheaper option and still serve the same purpose but as it is not part of the building you should be able to accelerate the depreciation.

Just my thoughts

Cheers

 

[Olly]

Oil heaters don't pump out as much heat as other forms of heating and are expensive to run.

I'd go with the gas heater. If your not in an area with natural gas (like me), you can still buy the heater (about $500 depending on the size you get), a couple of hundred to get it installed (by a licensed person) and the tenant orders the bottles of gas (about $72.00 for the big ones). They pump out a lot of heat, and you get to keep the heater when you demolish to re-use elsewhere.

Or do you have to supply heating implements at all? As long as there are powerpoints available (and why wouldn't there be), why can't they provide their own electric heaters and leave the choice of what type to them.

Olly

 

[Aceyducey]

Heating Tip #43:

Try running 3-4 PCs in each room. It keeps the house nice and warm.

Temperature control is easy! Simply start-up or shut-down additional PCs to adjust the temperature so it's just right!

Side Benefits: You can sell the hard drive space for web storage or donate CPU capacity to charity to support the various peer-to-peer computing projects.

Cheers,

Aceyducey

 

[geoffw]

Heating Tip #43:

Try running 3-4 PCs in each room. It keeps the house nice and warm.

Temperature control is easy! Simply start-up or shut-down additional PCs to adjust the temperature so it's just right!

Side Benefits: You can sell the hard drive space for web storage or donate CPU capacity to charity to support the various peer-to-peer computing projects.

Cheers,

Aceyducey

Ouch. I wouldn't like to pay the electricity bills on that.

Others are right- gas is a cheaper form of heating to run than electricity (well, generally).

AndrewS, I'm not sure where you are. The answer will depend on how much you would spend on heating.

Your tenant would not appreciate oil column heaters if they will cost him hundreds of dollars in electricity more than gas.

But there may be other forms of heating.

Have a talk with your local electricity and gas people (we're OK in the ACT, as they're one organisation, and are less likely to be biased). Talk to them about set up costs, running costs- and also about heating habits. There may be assistance to put in gas if there's none on the premises already. We were interested in reverse cycle A/C- but we were advised (10 years ago, it may have changed) that it only operated at best efficiency if 80% of the house was heated or cooled at the same time- this did not suit our lifestyle, as we tend to be together in the living areas only. We opted for radiant ceiling heating- installed when the house was build, above the ceiling gyprock, below insulation. We find it good as it does respond fairly quickly (well, 30 minutes), and we only have to heat that bit of the house we are going to use.

 

[Jacque]

Hi Andrew,

This site might help you to compare heating costs elec vs gas

http://www.originenergy.com.au/home/home.php?pageid=539

 

[Muz]

Hi AndrewS,

Being in Tassie we are use to heating issues. I don't think I would like to provide a rental without adequate heating in at least the living areas. Two column heaters I don't think would cut it.

My advise is to install whatever is the best value for money for you (electricity or gas) and when you demolish etc pull it out and take it with you/put in another rental etc. Don't forget to check whether you can get depreciation benefits as this would offset he cost etc.

 

[Kristine..]

Hi Andrew

If there is a 'remote chance' you may redevelop the site, stick with the actual situation not the 'remote chance'.

Your tenants are precious - they are your financial lifeblood.

If they leave, what would new tenants expect to see as heating?

If they leave because the heating is inadequate / ultra expensive to run / they have to haggle over simple maintenance issues, you will be up for possibly a few weeks vacancies plus reletting fees. These costs could more than outweight the cost of servicing the heater.

My opinion is that whenever something needs doing, just do it.

I recently put in whole of house evap cooling and the tenant was happy to pay an extra $10 per week. I had the property manager send out the required 90 days notice and I ordered the cooling ($3,900).

I have just let a property which I was going to redevelop - it has been empty now for nearly two years with no income (doesn't time fly when you're having fun?!).

I told the prospective tenant the property was as it stood but that I would get the power reconnected at my expense ($1,000). Anything else would be up to them. However, I am also getting the gas reconnected, I had new berber carpets fitted, I repainted, cleaned, repaired, washed, retiled hazardous tiles etc I wouldn't live in a place with bare boards and I can always recycle the carpet if / when I do something else with the property.

Take my word for it - your 'remote chance' may stretch into years. Why not discuss whole of house ducted gas heating with the tenant / property manager and ask if they would be happy to pay an extra $10 / $15 / $20 per week. If they can't afford that, just get the existing heater serviced. If it was working when they moved in they would be entitled to ask nicely once or twice then get it repaired themselves and claim this as an emergency repair. This would be particularly relevant if there is anyone old / sick / young / asthmatic etc living in the household.

All my tenants stay a long time. I hope yours do, too.

Cheers

Kristine

 

[Mal P]

While not particularly helpful, you can go with full ducted gas heaters for under the $3k mark these days, for a smaller house. You might want to consider it, when listing (especially in winter) it might be considered a luxury item and people might jump in immediately.

Here in Canberra, they are standard items

 

[AndrewS]

Many thanks for everyones helpful advice.

After careful consideration, I will stick with replacing the heating with 'portable' space heaters, easy to take for another property as required if I should demolish existing property.

I was extremely interested in the concept of approaching the tenant and offering to install ducted heating if they were willing to accept an increase in rent of ~$10/week. A goood way of improving value of property and locking in an increase of rent at the same time.

Thanks also for the advice about possible delays in redeveloping the property. Much better I think to treat things as if I wasnt going to redevelop. At the rate at which I get things done, it might be a couple of years easily.


Thanks again


Andrew

 

[Gordon Gekko]

Andrew,

Buy a colum heater, take it home. Go outside to the meterbox, get somebody to turn the new heater on and just watch how much faster the meter ticks over.
It will cost the tenant more to heat the place

GG