Getting a coin-operated laundromat is a profitable strategy for rental properties. There are many reasons to get a coin-op laundromat, but we cover the major benefits in this article.
Why Get a Coin-operated Laundromat
As a landlord, I frequently hear, “I don’t have laundry in my building,” or “I have regular laundry that isn’t coin-operated.” Should I switch or add coin-operated laundry?” ”
In every single building that I manage or own myself personally, I always switch to coin-op laundry. Here are the reasons why.
1. You can save on bills and repair costs.
Normal laundry increases your bills. When you have laundry that isn’t coin-op, your water bills will skyrocket.
In addition, regular washing machines are additional appliances that you will have to repair. For a two or three-family home, instead of having one laundry in the basement with a coin-op that I have to take care of, I might just have one in each unit.
That means I have three sets of washers and dryers to fix or replace if and when these things break down.
2. You can prevent floods.
Normal laundry machines being on higher floors makes your property prone to floods. This is because there is a lot of water transitioning through these machines when laundry is done.
So what does that mean? Potential floods. Especially when you have the laundromats on higher floors. Imagine a waterline bursting—which insurance companies hate—flooding your other units. It will cause damage, and your tenants will have to move.
We want to try to avoid that. So we put the coin-op laundromat in the basement and have it on a platform. So even if they did burst or we have water issues, it will just be in the basement and won’t affect units on other floors.
3. You get an additional income stream.
Instead of the water bills being paid for out of your pocket, you can help offset that with coin-op laundry. Most machines will limit between $2-2.50 cents per load, which means about $4-5 loads with a washer and dryer.
But if you have some of the higher-end models, you can digitally set them out to what you want. Depending on the distance between where your other laundromats are and your competition, you can set that amount higher or lower.
The Landlord Tutor Promise
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