Meter
Definition and meaning of Meter in real estate.
A meter is an instrument installed on a property to measure the consumption of public utilities, such as electricity, water, or natural gas, supplied to that location.
In more detail
The readings from this device are used by utility companies to calculate the monthly billing charges for the property. Meters are crucial in property management and leasing for determining who pays for utility usage. In single-family homes, there is typically one meter per utility, and the tenant or owner pays the provider directly.
In multi-family properties, landlords may use a master meter for the entire building or install sub-meters for individual units to track usage separately. Accurate metering prevents disputes and ensures tenants are billed fairly based on their actual consumption.
Key facts
| Category | Leasing & Property Management |
|---|---|
| Common types | Electric, water, gas, and smart meters |
| Ownership | Typically owned and maintained by the local utility provider |
| Sub-metering | Billees pay based on individual meters in a multi-unit building |
A landlord installs individual water meters for each unit in a duplex so that each tenant is billed only for the water they use, rather than splitting the building's total bill in half.
Frequently asked questions
Who is responsible if a utility meter is damaged or broken?
If the meter belongs to the utility company, they are responsible for repairing it, unless the damage was caused by the property owner's negligence.
What is sub-metering in rental properties?
Sub-metering is when a landlord installs individual measuring devices to bill each tenant for their specific utility consumption, rather than charging a flat fee.