Home / Housing disputes / Who has the right to privatize an apartment or housing
Free privatization of housing is given to a person only once in his life. The privilege can be used by persons who have the right to transfer municipal property into private ownership, i.e. who have entered into a social tenancy agreement. All others who wish do not have this right. They are prohibited from registering for municipal housing - the only possible option is to buy the property at its cadastral value.
A logical question arises: who and by what right is given a chance for free privatization of an apartment in the Russian Federation? You will find answers to these and other questions in our material.
What kind of housing can be privatized?
Privatization is a procedure for the denationalization of residential and non-residential properties, i.e. transfer of municipal property into private ownership. The procedure began in 1991, immediately after Perestroika and the collapse of the Soviet Union. Residents of Russia have the right to register state apartments as personal property free of charge.
Federal Law No. 1541-I “On Privatization...” (latest edition) allows the privatization of the following objects:
- Housing under a social rental agreement with the municipality.
- Certain types of departmental housing:
- not withdrawn from circulation;
- with the consent of the owner (for example, the Ministry of Defense);
- when transferred to the balance sheet of the municipality.
Finding a suitable property is not difficult, the main thing is to have a rental agreement in hand . Based on this document, you can privatize an apartment within the framework of current legislation.
When it comes to municipal real estate
Those close or distant relatives who are not registered have no relation to this apartment as an object of property and reside temporarily, but with the consent of the legal residents.
All questions regarding the procedure for privatizing an apartment and the existing nuances are reflected in the Federal Law “On the Privatization of Housing Stock,” adopted back in 1991.
If the privatization procedure by the tenant has already been started before his death, the tenant’s mother must immediately contact the MFC or BTI for further actions upon completion of privatization, since in this case the procedure for registering property rights is different than indicated above.
The shared type of privatization of living space provides the opportunity for each resident to dispose of their share of the property at their own discretion.
This is important to know: If no one is registered in the apartment
What cannot be privatized?
So, if the property is owned by the municipality, the object is subject to privatization. But at the same time , there is housing that cannot be registered as the property of citizens (Article 4 of the Federal Law):
- service apartments (see “How to privatize service housing?”);
- dilapidated living space;
- residential facilities in closed-type military camps (ZATO);
- emergency housing;
- objects that are architectural monuments or of special historical value;
- owned by citizens.
The status of housing can be determined through an examination. Therefore, if an object is in a deplorable condition, then most likely it is classified as an emergency or dilapidated type. It is recommended to ask the municipality to provide new housing, and only then proceed with its re-registration.
Don’t know whether housing has been privatized or not yet? Read where to make a request in our article.
Who has the right to privatize housing?
The list of applicants for the transfer of housing into private ownership is noted in Art. 69 Housing Code of the Russian Federation.
The following have the right to participate in privatization:
- responsible tenant - the one with whom the rental agreement was signed;
- family members of the tenant - persons registered in the apartment, not necessarily relatives;
- incapacitated or partially capable persons (dependents);
- temporarily absent residents (convicts, military personnel, rotation workers working abroad, staying in a hospital);
- minors are required.
Note that if there are several participants in privatization, then the apartment becomes shared ownership. Applicants receive equal shares and can dispose of them at their own discretion.
If housing is privatized by two people - a husband and wife, then the object will become joint ownership. The spouses will have equal shares, and after a divorce (if one happens), each of them will have the right to half the apartment. But this is only in the case of privatization of housing by spouses, without children and other family members.
Owner of non-privatized housing
Civil passports of all family members over 14 years of age who are taking part in the procedure for re-registration of rights. Tenants of residential premises who live in apartments under a social tenancy agreement have the right to privatization. If this is a land plot - a lease agreement or an act of transfer of land for indefinite use. Based on these documents, a person has the right to become the owner of real estate.
This is important to know: The deadline for apartment privatization has been extended until 2020
The desire to become a property owner must be expressed independently, without outside pressure. It’s hard to imagine a person who doesn’t want to get real estate for free.
Only those who took part in the procedure while underage will be able to receive real estate for free from the state a second time.
There is one peculiarity here. They will exercise their rights jointly, as well as fulfill their obligations to pay taxes, rent, etc. for the privatized apartment. If one of them subsequently wishes to sell his share, he must first offer to buy it to the others.
A commission specially organized by the court determined that the part of the apartments that belongs to Petrov is really insignificant, has no significant interest and cannot be separately allocated. Petrov did not dispute the commission’s assessment and, having received his monetary compensation, ceased to be the owner of a minor share.
Until about mid-1993, the privatization of residential premises by citizens was carried out in Russia completely officially without the mandatory inclusion of minor children in the number, since the norms of the law on privatization did not directly provide for such a rule, and the norms of the Housing Code on equal rights to residential premises for adult and minor members of the tenant's family were not taken into account.
An apartment can be transferred into common shared ownership, as well as into the ownership of one citizen living in it.
If for some reason you have not yet managed to register the apartment in your name, it is important for you to know who exactly exercises the powers of the owner in relation to it. This determines where exactly you will have to go to conclude a contract for the transfer of housing.
An article will be added soon - “The history of the apartment or how not to end up in a legal trap.”
But some restrictions are imposed on you on the rights to use and dispose of the apartment until the loan is fully repaid. All of them must be specified in your loan agreement, so at the stage of its conclusion it is better to familiarize yourself with these conditions more carefully.
This opinion of citizens - that the owner of a privatized apartment “can do everything”, and the person registered in it “can do nothing”, is a delusion.
This circumstance will not serve as a basis for canceling privatization or refusing it by authorized bodies. If the apartment is small in size and it is simply impossible for each owner to be allocated a separate isolated room, then allocating a share in kind is impossible.
First of all, we are talking only about those apartments for which a social rental agreement has been concluded. What is homeowners' shared ownership of housing? How to solve practical issues in such cases?
Registration services are subject to a state fee of two thousand rubles for each copy of the agreement.
Who is not allowed to privatize by law?
There are categories of citizens who are deprived of the right to re-register municipal housing. Even if they submit an application for privatization, they will be refused, and if the apartment is registered, the transaction may be challenged in court.
Who cannot participate in privatization:
- Do not have a social rental agreement for residential premises.
- Not registered in the apartment.
- Those who have lived in a municipal apartment for less than one year.
- Residents who create inconvenience for the rest of the family members (arranged redevelopment, do not pay for housing and communal services, damage property in the house).
- Owners of other privatized real estate, i.e. previously involved in the denationalization of property.
It is important to note that if a person is discharged from a municipal apartment before the start of privatization, he loses the right to participate in the procedure. He retains the right to register in another municipal housing space, live in it for a while, and then try to privatize it.
Can I participate again?
Current legislation allows citizens of the Russian Federation to participate in privatization once in their lifetime (Article 11 of Federal Law No. 1541-I). Subsequent participation cannot be free of charge. Applicants for housing can buy it from the state for money.
The question arises, how can you privatize an apartment for free if the previous attempt has already been exhausted? Repeated participation is possible if at the time of privatization the person registered was a minor (from 0 to 18 years old). Children can participate one more time after they reach 18 years of age. But without the guardianship and consent of adults.
The second way to re-participate in privatization is to invalidate the previous transaction . For example, due to a violation of a child’s rights or non-compliance with a procedure. Privatization can be declared invalid only in court, and only if there is strong evidence. If the court satisfies the claim, the transaction is annulled. The apartment will again go to the municipality, and the participants will regain the right to free privatization again.
Read about all the nuances in our article, how many times can you participate in the privatization of an apartment?
Rights acquired after privatization
By taking advantage of the right to privatize housing, individuals acquire real estate as shared or joint ownership. The new status of the apartment opens up broad powers for the owners.
Rights of owners of privatized living space:
- Order
Nowadays you can increasingly come across the question: is it possible to sell a non-privatized apartment? While the property belongs to the municipality, it cannot be sold, leased, mortgaged, bequeathed or donated. But as soon as the apartment becomes private property, the owner will be able to dispose of the share at his own discretion.
- Redevelopment
Having become the legal owner of the apartment, you can begin to redevelop it: make repairs, combine rooms, divide the bathroom... However, before that you will have to visit the BTI and coordinate the redevelopment.
- Free registration/checkout
Registration of new residents in a municipal apartment requires special permission. Owners of privatized real estate do not have such difficulties. In order to register new tenants, it is enough to visit the UVM and write a consent to move in. There is no need to obtain any permits, as was the case with municipal housing.
- Pledge
Obtaining a large loan from a bank is not possible without a guarantee or collateral of property. If such collateral is a share in a privatized apartment, the bank will be more willing to issue the required amount. The main condition is that the value of the collateral must exceed the loan taken by at least 5% (Clause 1, Article 54.1 of the Federal Law “On Mortgage”). In this way you can get a mortgage for housing in a new building.
Along with rights, the owner also acquires some responsibilities.
We are talking about the maintenance of housing, payment of contributions for major repairs, annual property tax, etc. In a word, those expenses that are not borne by tenants under a social tenancy agreement. Nevertheless, privatization of an apartment is a profitable operation that opens up many new opportunities with real estate. Attention!
- Due to frequent changes in legislation, information sometimes becomes outdated faster than we can update it on the website.
- All cases are very individual and depend on many factors. Basic information does not guarantee a solution to your specific problems.
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Author of the article
Maxim Privalov
Lawyer. 2 years of experience. I specialize in civil disputes in the field of housing and family law.
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If the apartment is state-owned, who can be its owner?
Owning a home means that you can take it and sell it, renovate it with redevelopment, mortgage it to the bank, etc. After privatization, all these “carrots” go to the new owner or owners.
All those who live in non-privatized housing are naturally concerned about the question of who owns such rights.
According to the law, the owners of this living space are:
- government bodies represented by various departments, committees, and other departments;
- local authorities (usually the administration).
If for some reason you have not yet managed to register the apartment in your name, it is important for you to know who exactly exercises the powers of the owner in relation to it. This determines where exactly you will have to go to conclude a contract for the transfer of housing.
Is it possible to legally deprive an owner of his share in an apartment? The answer is in this video:
So, before privatization, all rights to housing belong to the state or municipality. But after it, the citizen living in it and his family become the full owner of the living space. How many people have concluded a privatization agreement - that is how many owners the apartment has. Each family has different relationships, but it is necessary to decide together how exactly to formalize it (for everyone or not). If someone in your family decides not to participate in privatization, make sure that they fully understand what step they are taking. This will avoid further resentment and dissatisfaction regarding this matter. Family is the most precious thing we have, so don’t let material squabbles destroy your relationships with your loved ones.
This is important to know: Assistance in holding a meeting of owners of an apartment building
Read how shares in a privatized apartment are divided in this article.
For additional information on this issue, please see the “Privatization” section here.
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Attention! Due to recent changes in legislation, the legal information in this article may be out of date!