Sacramento Triplex & Quadplex Management

You're required to occupy one unit as your primary residence for at least 12 months from closing. We structure the lease for the three rented units to acknowledge the owner-on-site reality (quiet hours, common-area expectations, communication channel for the owner-tenant relationship), keep AB 1482 compliance running on the rented units, and set up the BOT and city rental registration. Common owner mistake: treating the live-in unit as exempt from any rules — Fair Housing and the lease standards still apply when you decide to move out and rent that fourth unit.

The Sacramento Business Operating Tax (BOT) is a city-imposed annual tax on rental property operations. It's separate from the property tax and from the Rental Housing Inspection Program (RHIP) fee. The BOT scales with unit count — a 4-plex pays more than a duplex pays more than a single SFH. Current rates are published annually by the City Treasurer. We register each property on intake, file the annual BOT return, and pay it on time so the owner doesn't face late penalties.

Yes. AB 1482 (the California Tenant Protection Act) applies to all rental properties 15+ years old except a narrow set of exemptions — single-family homes (with proper notice) and owner-occupied duplexes. Triplexes and quadplexes do not qualify for any AB 1482 exemption. We track CPI annually, calculate the 5% + CPI cap (max 10%) per unit, and serve renewal notices via certified mail with the legally required language.

Depends on the building. Sub-metering installation runs $4K-$8K per unit but eliminates monthly utility allocation arguments and is often required by lenders on refinance. RUBS (Ratio Utility Billing System) is cheaper to set up but has to be documented in every lease with the allocation methodology disclosed (square footage, occupant count, fixed split). California allows RUBS for water and electric if structured correctly. We audit the building on intake, model both options against current utility bills, and recommend the path that maximizes net yield over 5 years.

12-18 days at peak season for properly priced units. The qualified-tenant pool for these neighborhoods is deep — state government, UC Davis Medical, Sutter Health, law firm associates — so good listings draw multiple applications fast. Off-peak (October-February) runs 18-28 days. We market every unit individually with neighborhood-specific photos and copy, not as "Unit A of Building X."

Treat the building as a system. Plan for: roof replacement ($15K-$30K every 20-30 years), sewer lateral replacement ($6K-$15K — Sacramento requires private lateral compliance on sale), foundation repair ($10K-$50K depending on issues), main electrical panel upgrade ($3K-$8K if still 100-amp or below), water heater capacity (single shared 75-gallon vs four individual units), and common-area items (driveway resurface, mailbox cluster replacement, exterior paint every 7-10 years). Reserve 18-22% of gross annual rent for capex on pre-1950 multi-family — higher than SFH because more shared infrastructure ages on the same timeline.