The High Cost of Wastewater and How Submetering Helps Consumers Save
August 26, 2025
Detecting Leaks in Multifamily Housing: How Submetering Saves Thousands in Utility Costs
Water leaks are one of the most common — and costly — issues facing multifamily housing communities. From a slow-dripping faucet to hidden underground pipe leaks, undetected water loss can drain thousands of dollars each year in wasted utility costs. For property managers, these costs add up quickly, affecting budgets, tenant satisfaction, and even long-term property value. Fortunately, submetering provides a powerful solution by making it easier to detect and stop leaks before they become a financial burden.
Why Leaks Are So Costly in Multifamily Housing
In multifamily communities, utility expenses are often one of the largest operating costs. A small leak in one unit might seem insignificant, but across dozens or hundreds of units, the losses compound. Consider this:
A single faucet dripping once per second can waste more than 3,000 gallons of water per year.
A leaking toilet can waste up to 200 gallons a day, totaling more than 70,000 gallons annually.
Underground or hidden pipe leaks may go unnoticed for months, leading to tens of thousands of dollars in added utility bills.
Without accurate monitoring, these leaks often go undetected until a major utility spike or costly damage occurs.
How Submetering Helps Detect Leaks
Submetering is the process of installing individual meters for each unit within a multifamily community. Instead of one master meter for the entire property, submetering tracks utility consumption by unit. This system creates transparency for both property managers and residents — and provides a vital tool for leak detection.
Here’s how submetering makes a difference:
Identifies Unusual Spikes in Usage
When a resident’s usage suddenly jumps compared to their normal average, submetering data can signal a possible leak.Pinpoints the Source of the Problem
Instead of searching through the entire building for a leak, managers can quickly isolate the issue to a specific unit.Encourages Resident Accountability
Since residents are billed for their own consumption, they’re more likely to report leaks early — reducing waste and costs.Reduces Operating Expenses
By detecting and fixing leaks promptly, property managers can prevent skyrocketing utility bills and protect community budgets.
Real Savings: Thousands Per Year
Communities that adopt submetering often see significant savings not only in leak detection but also in overall conservation. Studies show that submetered properties can reduce water consumption by 15–30%, directly lowering costs. In some cases, detecting and repairing leaks early has saved communities tens of thousands of dollars per year in unnecessary water expenses.
Protecting Property Value and Sustainability
Beyond cost savings, submetering helps safeguard a property’s infrastructure. Leaks can cause structural damage, mold growth, and increased maintenance costs if left unchecked. By leveraging real-time data, managers can act proactively, extending the lifespan of plumbing systems and ensuring healthier living environments for residents.
Final Thoughts
Detecting leaks in multifamily housing is a challenge that property managers cannot afford to ignore. With submetering, communities gain the tools to quickly identify issues, cut waste, and save thousands in utility costs each year. Beyond the financial benefits, submetering promotes fairness, accountability, and sustainability — making it a smart investment for the future of multifamily housing.
