What to do if you bought an apartment with utility debts

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Published: 12/05/2017

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Utilities supplied to residential and non-residential premises must be paid by the owners of such premises or their tenants. However, there are times when payments are not received on time. Then debts arise. There are mechanisms for purchasing an apartment with debts, which, if followed, can minimize the risks of the purchase.

• Debt check
• Buying an apartment with debts
• Additional agreement

Do you need to pay other people's debts?

The secondary real estate market includes thousands of different apartments for every taste. In most cases, the housing is “clean” and the new owners will not have any problems. It is even more reliable to purchase apartments in new buildings. Statistics show that today about 70% of people who bought a home are satisfied. 25% of apartments are sold with small debts, which are repaid towards the cost of the apartment, and the remaining 5% are malicious defaulters who have huge debts. It is the last category of real estate that is the most problematic.

Please contact the seller directly. The point is that anyone can pay their bills if they have a job. Willful defaulters are people with alcohol or drug addiction, as well as persons with limited legal capacity. In any case, cooperation with such sellers should always be wary, and all necessary checks should be carried out.

How not to buy an apartment with debts

When buying an apartment, you should carefully study all the documentation offered to you.

1. Before formalizing the purchase and sale agreement, request the presentation of receipts for payment of utilities for a period of at least six months, and check that contributions for major repairs are listed there. You must be shown certificates from the water utility and other authorities.
2. You can play it safe and obtain the necessary information about making a payment from the relevant authorities, having received documentary confirmation.
3. If your apartment has separate meters for water, gas, etc., it is mandatory to take readings from them in person.

Don't be afraid to ask the previous owner to pay for major repairs if they haven't been done before. If, for some reason, the owner cannot provide you with the necessary receipts and certificates, you should not deal with such a careless owner, otherwise this will lead to some problems with housing and communal services authorities in the future.

Checking for debts

You shouldn’t take the seller’s word that everything is fine with the apartment and there are no problems. Responsible sellers prepare a certificate in advance stating that all utility bills have been paid. This allows you to save time and get rid of unnecessary questions. As for the buyer, he must in any case check:

• are there acts on the removal of control indicators from devices that keep individual records of consumed resources (not required in all cases);
• whether payment for utilities has been made for the period when the purchase of housing is made.

If the seller provides a certificate, then it must have the stamps of the organization and the signature of the official who issued it.
If there is still a debt, it is necessary to find out the exact amount. The seller is obliged to provide full cooperation with this information. If he refuses to provide this data, then you can obtain it yourself. To do this, you need to submit a request to the management company or cooperative. The issued certificate will indicate the amount of non-payment for various types of utilities. If there are no debts, then this will be indicated in the documents. In this case, you can purchase housing without fear. At least she won’t have problems with utility debts.

Apartment with debt: what to do?

Cases are especially common when an apartment was purchased with a debt for water or electricity.
This especially affects those apartments in which water meters are not installed and the consumption of the water itself is not controlled in any way, and payment is calculated based on the general tariff. But, according to the current legislative framework, the current owner of housing property is not responsible for the debts left by the previous owner. However, it is worth noting that there are several exceptions here: Dear readers! Our articles talk about typical ways to resolve legal issues, but each case is unique. If you want to find out how to solve your specific problem, please contact the online consultant form on the right →

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• The new owner is obliged to pay money for major repairs carried out in an apartment building; if the person who previously owned the apartment has arrears on these contributions, then the current owner must pay it off;
• If repair work has been carried out on water supply channels and, as a result, funds are recalculated, the current owner must make payments on the resulting amounts.

The last point also applies to bills received for heating.
Quite often, payment rates change dramatically during the heating season, resulting in the need to make various recalculations in order to arrive at the correct amount due for payment. The responsibility to repay it falls on the new owner of the apartment. If a new owner bought an apartment with a debt for major repairs, then the organization providing utilities for this residential area has the right to hold the new owner accountable and demand payment of the debt, even going to the judiciary.

Features of purchasing an apartment

So, taking into account the above, it can be noted that buying an apartment with utility debts has its own characteristics, although in general the procedure is standard. The following steps are provided for this:

• check the documents for the apartment;
• check for arrests or other types of encumbrances;
• check the certificate of absence of debts for utilities;
• if there are debts, it is necessary to resolve the issue of their repayment (this is done either by the seller or the buyer on account of the cost of the housing, which must be indicated in the contract);
• write an application to Rosreestr regarding registration of property rights;
• draw up an agreement and transfer funds in any convenient way.

Note that if the debt for utilities is repaid by the buyer, then the exact amount must be indicated in the contract. This is extremely important, because it will reduce the price of the apartment itself.

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What documents are required to purchase an apartment with utility debts? The list is standard and includes the following papers:

• identification of all participants in the transaction;
• extract from Rosreestr;
• an extract from the tax service confirming the absence of debt;
• certificate-invoice from the management company or other organization;
• an extract from the house register, which contains information about all the people registered in the apartment;
• contract of sale;
• agreement on the repayment of utility debts by the seller or buyer;
• documents confirming ownership of the apartment;
• receipt for payment of state duty;
• act of acceptance and transfer of apartment and funds.

Depending on the specific situation, additional documents may be required. For example, if payment occurs through a cell.

What to do if the management company requires the new owner of the living space to pay debts

It's no secret that management companies and homeowners associations do not understand the intricacies of the law and demand payment of debt from new owners. However, this is illegal. The Housing Code of the Russian Federation states that the debt is assigned not to the apartment, but to the owner. After all, the supplier enters into a contract with a person.

The person is obliged to pay the payment on time. However, few people care about this. As a rule, if there is debt, management companies go to court. Notice of the appointment of a meeting is sent to the name of the new owner. It is important to show up for the trial on time, otherwise the entire debt will be pinned on you.

Download the notification form to the management company about a change of owner for free in word format

During the case, you need to present a purchase and sale agreement, which reflects the date of occurrence of obligations, that is, the purchase of an apartment. The court will rule in your favor. No one will be able to disturb you anymore. If there is a debt from the old owner, the established procedure must be followed.

Appeal to the Criminal Code

Important! Contact the management company employees with notification of the change of owner. The sooner you do this, the less risk that you will be saddled with debt.

In addition, this will help avoid interruption in the supply of services. It is important to notify the management company about the presence of someone else’s debt.

You must have with you a purchase and sale agreement, an extract from the Unified State Register of Real Estate, and a copy of your passport. A new contract will be concluded with you.

ATTENTION! Look at the completed sample notification in the Criminal Code about a change of owner:

Claim to the Criminal Code

If the management company employees still demand payment of the debt from the new owner, it is necessary to write a claim addressed to the manager.

It is reviewed within thirty days from the date of registration.

The application is drawn up in two copies.

One goes to the management company, the second remains with the owner with a mark of acceptance.

If the management company employees refuse to accept the request, it is sent by registered mail with notification.

ATTENTION! Look at the completed sample claim to the Criminal Code for debts for utilities of the previous owner:

Contacting the Housing Inspectorate

If the Criminal Code has not responded to the complaint in any way, you can file a complaint with the Housing Inspectorate of your area. It will review the application within 30 days from the date of registration and conduct a check regarding the Criminal Code.

If deficiencies are discovered, housing inspectors will demand that they be corrected within the period established by law. You will be notified of the results in writing.

A sample complaint to the Housing Inspectorate is here.

ATTENTION! Look at the completed sample application to the housing inspection:

Complaint against a real estate agent

If the purchase and sale transaction was carried out with the help of real estate agencies, you should write a complaint against its employee who did not notify about the existence of the debt.

This will not lead to the elimination of the debt, but the culprit will be punished.

It is possible that the company will pay you moral compensation.

Lawsuit

If the Management Company does not comply with the requirements of the housing inspection, it should go to court.

ATTENTION! View the completed claim form against a real estate agency:

Watch the video. What to do if you bought an apartment with debts:

What to do if you bought an apartment with utility debts?

Lack of due diligence during the transaction leads to the fact that an apartment is purchased with outstanding utility payments. The situation is extremely unpleasant for the new owner. You can try to challenge the agreement in court.

If you find out that you also received debts along with the property, do an analysis of the amount of debt.

3 ways to find out about rent arrears

• State IP Coordination Center. The service works for residents of the capital. Using the site, you can get information about what amounts of debt are owed to city apartments.
• Website of a management company or homeowners association. Some companies create websites where they post information about debtors.
• Service Provider. The company that provides the services has information about which of the owners is dishonest in their payment obligations.

Collection of utility debts from the former owner in court

When a real estate purchaser learns about the utility debts of an apartment, the first thought is about legal action. However, according to legal norms, the new owner will be recognized as a third party in such a dispute, and the real parties to the case will be the former owner and management company (HOA). Those. the requirement to collect utility debt from the defaulting former owner is permissible only for the management company.

If a court order to collect the utility debt of the previous owner has been received by the copyright holder who recently purchased the property, it should be immediately protested.
The new owner must come to the court that issued the order and file a written objection, attaching copies of title documents to the property. We remind you that debts for major repairs left by the previous owner will have to be paid by the new owner - this, unfortunately, is the legal order (Part 3 of Article 158 of the Housing Code of the Russian Federation).