Deprivatization of the apartment. When is it profitable and how to do it...

The Law “On the Privatization of Housing Stock in the Russian Federation”, adopted in 1991, for the first time allowed citizens to register ownership of residential real estate that they occupied under a social tenancy agreement. Everyone was in a hurry to take advantage of their legal right and register ownership of their apartment, cottage or house for free, without thinking about the legal and financial consequences of privatization.

At the beginning of 2010, the result of such rash actions was the wholesale deprivatization (deprivatization) of apartments, since it turned out that owning an apartment is not always a profitable investment, and in some cases it is more profitable to live in municipal (state) housing. Let's try to figure out what the essence of deprivatization is, when it is beneficial and how to formalize it.

What is deprivatization?

The concept of privatization appeared back in 1992 and gave citizens a unique opportunity to re-register municipal housing occupied on the basis of a social tenancy agreement (order). At the same time, a need arose for the reverse procedure, namely the return of privatized real estate to the state. Soon this process was officially legalized and received the name - deprivatization.

The basis for the reverse re-registration of housing in favor of the state is Articles 168-172 and 175-179 of the Civil Code of the Russian Federation. The privatization agreement can only be canceled through the court.

Difference from deprivatization

Both during deprivatization and deprivatization, real estate becomes the property of the state. However, the conditions and consequences of these operations differ significantly. In the first case, the re-registration is invalidated only by a court decision; in the second, the return of the apartments to the municipality is carried out on the basis of a voluntary decision of one or more owners.

If a citizen was denied deprivatization, he has every right to return the square meters forcibly by applying to the court.

At the end of the forced procedure for the return of real estate, residents retain the right to free privatization, but if a person gave up an apartment voluntarily as a result of deprivatization, then in the future he will only be able to re-register municipal property as private property on a paid basis.

Features of modern deprivatization in Russia

The term “deprivatization” means the return of previously privatized housing stock to state ownership. Preserving the possibility of further residence in what was previously a private residential area implies the conclusion of a rental agreement in this already municipal or state-owned housing.

Termination of ownership of privatized living space can occur in two ways:

• through deprivatization;
• way of deprivatization.

The first method is to prove gross violations of privatization rules during the procedure for transferring housing from state to private ownership. The deprivatization of an apartment is carried out in the process of judicial proceedings. According to the law, the former owner loses the opportunity to conduct real estate transactions, as well as to privatize the apartment a second time.

Read more about the re-privatization of an apartment in this article https://realtyinfo.online/2840-skolko-raz-mozhno-oformlyat-privatizatsiyu

Deprivatization is completely voluntary; housing becomes municipal property free of charge.

The objective reasons that make owners of their own apartments want to return them back to the state are the following:

1. The emergence of a real estate tax, as a result of which some low-income Russians are trying to get rid of property in order to avoid paying the tax.
2. The dilapidated condition of the building in which the privatized apartment is located. The cost of its overhaul is unaffordable for many. How to find out the debt for major repairs via the Internet we will find out in this article https://realtyinfo.online/5009-oplata-vznosa-na-kapitalnyi-remont-online
3. The emergence of a guarantee of protection for single people or pensioners, who often become victims of apartment scams. Public housing is of no interest to such criminals.
4. Against the background of ever-increasing payments for utility services, the amounts of utility payments in municipal housing stock look more attractive.
5. High costs of maintaining the house and surrounding area for low-income citizens.

A good reason is the erroneous opinion about the possibility of obtaining larger apartments in the event of demolition of dilapidated and dilapidated housing from the state fund.

Is it possible to deprivatize an apartment or housing?

The provisions governing reverse privatization are contained in several legal acts:

• Housing complex of the Russian Federation;
• Federal Law No. 1541-1 “On Privatization”;
• Moscow City Law No. 60 “On the transfer...” (only for residents of the capital);
• other regulatory documents of the constituent entities of the Federation.

Depending on the situation, deprivatization will have a number of features:

Package of documents for deprivatization

To carry out the procedure, it is necessary to prepare the following certificates and papers:

• application (the form can be asked from employees of the Housing Policy Department);
• passports of privatization participants;
• title documentation for housing (originals required);
• a certificate establishing the fact that there is no arrest, pledge or other types of encumbrances on the property;
• registration certificate for the apartment (issued at the BTI);
• documents about people who are registered in the apartment and live in it;
• floor plan of the premises, explication of it;
• a receipt establishing payment of the state duty;
• extract from the house register;
• extract from the Unified State Register;
• written permission from guardianship officials if children live in the family.

Reasons

It is possible to recognize a transaction as void and cancel the privatization agreement only if the procedure was carried out with serious violations, for example:

• one of the owners took part in privatization again, which is prohibited by law;
• the transaction was concluded with violations;
• the interests of the minor were not taken into account;
• one of the residents was against privatization and did not sign an official refusal;
• at the time of privatization, the house in which the housing is located was in disrepair;
• It was not a municipal, but a service apartment that was re-registered as property.

Any of the above grounds must be documented. When drawing up a statement of claim, it is necessary to state in detail the reason for deprivatization and indicate the requirements to the court.

Pros and cons: what consequences await a person who deprivatizes an apartment

There may be both pros and cons after the procedure. It is worth familiarizing yourself with everything in advance so that there are no unpleasant surprises.

When is deprivatization impossible?

Each case of declaring privatization invalid is considered individually and the court does not always make a decision in favor of the plaintiff.

You will definitely be denied deprivatization if:

• at the time of the claim, the apartment is collateral for a bank loan;
• Previously, illegal redevelopment was carried out at the site;
• the apartment was resold to third parties;
• the statute of limitations was violated without good reason.

Example. The Pirogov family, which has a ten-year-old son, privatized municipal housing, in which, besides them, Smirnov was registered. The latter, although he was officially registered in this apartment, did not actually live there. Smirnov did not object to the Pirogovs’ registration of ownership of their housing, but did not provide an official written refusal certified by a notary. After some time, Smirnov broke up with his common-law wife and was forced to move out of her into his municipal apartment, which by that time the Prirogovs had already successfully privatized. The family refused to give Smirnov a room and the man had no choice but to seek legal protection. The main argument of the plaintiff was the fact that he had registration in the disputed apartment and he had to participate in privatization together with the Pirogovs. The Pirogovs argued that, in fact, their neighbor had not lived in the apartment for many years, and therefore did not pay utility bills and did not take part in resolving everyday issues. Despite the defendants' arguments, the court found that the privatization was carried out with violations, because Smirnov was included in the social tenancy agreement, which means he had a legal right to a share in a municipal apartment. As a result, the claim was fully satisfied, and the housing was returned to the city’s balance sheet.

There are cases when citizens, when drawing up a statement of claim for deprivatization, make a number of mistakes, which is why they lose the case. To insure against failures, you need to carefully study your rights, clearly formulate the grounds and prepare an indisputable evidence base. Before filing a claim, do not forget to pay the state fee and attach the receipt to the documents.

Consequences of voluntary termination

If a citizen has expressed a desire to voluntarily deprivatize housing, he needs to be prepared:

1. To sign a rental agreement for residential space with the government agency, because from the moment of deprivatization the former owner will be able to live in this apartment only as a tenant.
2. To the impossibility of privatizing the same apartment or other residential property, since the right to privatization is granted by law only once for adult citizens.

Legislative bodies do not plan to make changes to the deprivatization or deprivatization process in the near future.

How to deprivatize an apartment or housing in court?

Deprivatization is always the compulsory nature of the abolition of privatization. Therefore, regardless of the grounds, it is carried out exclusively in court. If the court satisfies the plaintiff’s demands, all owners of the disputed object lose their status, and the apartment is returned to the state.

Deprivatization can be initiated by:

• any resident registered in the apartment;
• interested person, for example, guardians or parents of minors;
• government body (guardianship, prosecutor's office, tax office)
• local administration.

Order, algorithm

Returning housing to the state through the courts is not an easy procedure and takes a long time. Therefore, enlist the support of a qualified lawyer, be patient and get started.

The algorithm for deprivatization of real estate is as follows:

• we establish the reason;
• We collect a package of necessary documents;
• competently draw up a statement of claim;
• we submit the papers to the office of the district court (in person or by registered mail);
• actively participate in scheduled hearings;
• we receive a copy of the writ of execution;
• We send a request to Rosrestr to change information about the owner.

If the claims are satisfied, the privatization agreement will be canceled and the apartment will be transferred to the balance of the municipality, and a new social rental agreement will be concluded with the residents (if necessary).

Process and Procedure

Cases of privatization, and, accordingly, deprivatization are considered by district courts at the location of the disputed property. If the plaintiff does not have the opportunity to personally attend the court, then he can appoint a representative for himself by drawing up a power of attorney and having this document certified by a notary.

It is possible to forcibly cancel privatization only by a court decision. Having received a copy of the writ of execution, the plaintiff must act in one of the following ways:

1. Submit an application to cancel privatization to the municipality or the Housing Department.
2. Contact the territorial office of Rosreestr with an application to change the registration data.

Documentation

The following documents must be submitted to the court office along with the statement of claim:

• plaintiff's passport;
• privatization agreement;
• technical passport for the apartment;
• extended extract from ERGN
• receipt of payment of state duty;
• all documentary evidence you have of your case;
• notarized power of attorney (if actions on behalf of the plaintiff are performed by his representative).

Be sure to make a copy of each document; upon delivery, a court employee will check the copies with the originals and return the originals to your hands. If a document is not available, a duplicate of it will do, but the court may also require its original during the trial.

Statement of claim for deprivatization

A statement of claim is an important document on which the outcome of the trial will largely depend. Therefore, its preparation should be approached with maximum responsibility. If you have never done this before, it is better to entrust this work to a professional.

In a claim for deprivatization it is necessary to indicate:

• name of the court;
• Full name and contact details of the plaintiff;
• Full name of the individual whose interests were violated due to privatization (the application is submitted on behalf of the children by legal representatives);
• information about the defendant (full name, contact details);
• information about the disputed object (its address, cadastral information, privatization agreement number, etc.);
• description of the violated rights with a detailed indication of the violations committed;
• a link to documents proving the existence of violated rights;
• reference to regulations regulating the controversial issue;
• request to the court to recognize the privatization transaction as void;
• list of documents attached to the claim;
• date, signature.

The statement of claim is drawn up in several copies, depending on the number of persons participating in the proceedings: one for the plaintiff, the judicial authority and each of the defendants.

Deadlines

When deciding to reverse the consequences of privatization and forcefully return housing to the state, be sure to take into account the statute of limitations. This is the period of time when a person has the right to go to court to restore his violated rights and interests. According to current legislation, the statute of limitations in disputes over privatization is 3 years.

The countdown begins not from the moment the transaction was completed, but from the day when you learned or should have learned about the violation.

The trial of privatization disputes lasts from 3 months to six months, in some cases the litigation may drag on for some more time.

Cost, expenses, taxes

The main costs of deprivatization of housing are related to state duties. In 2021, its amount for individuals is 300 rubles. Additional funds may be required to pay for legal services and to draw up a notarized power of attorney for the representative.

When drawing up a statement of claim, be sure to indicate in your demands that you want to recover all legal costs from the defendant.

Judicial deprivatization of residential real estate

At the moment, deprivatization of housing through the courts is carried out only in cases where violations are found in the agreement on the privatization of residential real estate.

The privatization agreement is canceled by the court if:

1. the transaction violated the terms of a law or legal act (Article 168 of the Civil Code);
2. the concluded agreement contains contrary legal requirements (Article 169 of the Civil Code);
3. the transaction was concluded without the intention of fulfilling its terms (Part 1 of Article 170 of the Civil Code);
4. the agreement was concluded to cover up another agreement (Part 2 of Article 170 of the Civil Code);
5. the agreement was signed by a citizen who is incapacitated (Article 171 of the Civil Code);
6. a transaction made by a citizen limited in his legal capacity (Article 176 of the Civil Code);
7. the contract was concluded by a citizen when he did not understand the meaning of his actions (Article 177 of the Civil Code);
8. the agreement was signed in a state of error (Article 178 of the Civil Code);
9. the contract was concluded fraudulently or with the help of threats and violence (Article 179 of the Civil Code).

Deprivatization in court takes much longer, since there is a need to provide evidence for the court of violation of the requirements of the Civil Code.