Buying an apartment from two owners features

Specifics of the transaction when selling an apartment in shared or joint ownership

Real estate becomes the property of several persons in the following cases:

Acquisition by spouses after marriage. Such property is considered joint, and by default the spouses own half of the property. Each of them can initiate the sale of an entire apartment, but under one condition - the consent of the second owner to complete the transaction. Read more: Buying an apartment in shared ownership by spouses
Privatization. In this case, all participants become owners. Each of them is allocated a certain share of the property, then the housing becomes shared, or they are not allocated, and the apartment becomes an object of joint ownership. Read more: Privatization of apartments, housing
Transmission by inheritance. The testator has the right to leave property under a will to several persons, and if the document was not drawn up during his lifetime, the property goes to his closest relatives, for example, a spouse and child. In this case, the heirs become co-shareholders, owning equal parts of the property. Read more: How to register an apartment as property by inheritance
Acquisition under an equity participation agreement. If all shareholders contributed a certain amount towards the cost of the property, each of them will receive their part of the apartment. Read more: Contract for the sale and purchase of an apartment in shared ownership

What type of property ownership is this?

Shared ownership is regulated by Chapter 16 of the Civil Code of the Russian Federation . The Code describes it as the right of ownership of the same piece of property, which belongs to two or more persons, and at the same time their right is divided into shares indicating who owns it in what amount.

According to Part 3 of Art. 244 of the Civil Code of the Russian Federation, shared ownership is a variant of common ownership, which is applied by default, unless the law directly provides that another option arises for the object - joint ownership.

IMPORTANT! With shared ownership, the object itself is not physically divided. Only the right to it is divided.

Difference from joint variety

Since such an option as joint ownership is also mentioned, it is necessary to indicate what the difference is between it and shared ownership. The fundamental difference between equity and joint ownership is as follows :

With shared ownership, there is an exact indication of which share of the co-owners belongs to. In case of joint ownership, there is no such indication, and if a division occurs, then it is assumed that the allocated shares will be equal, unless otherwise specified in the law or agreement between the co-owners (Article 254 of the Civil Code of the Russian Federation).
Joint ownership is possible only in cases expressly provided for by law (spouses, members of the same peasant farm, etc.). Share – in all other cases (Article 244 of the Civil Code of the Russian Federation).
It is impossible to transfer shared ownership into joint property (except for cases when it acts as a contribution to an organized peasant farm), but it is possible to divide joint property.

Thus, we can point out: shared ownership of an apartment is a common option that always arises if it is acquired by persons who are not married to each other.

Procedure for selling real estate by 2 owners

So, when selling an apartment that is in the legal possession of 2 persons, you must:

Study market conditions and determine the selling price.
Submit an ad in newspapers, on websites, or engage a realtor.
Discuss with the buyer the specifics of the transaction. If it is intended to conclude different sales and purchase agreements, it is necessary to obtain the written consent of the co-owner. If the property is in joint ownership, written consent to the sale will also be required.
If necessary, draw up a preliminary purchase and sale agreement, add information about making a deposit (advance payment).
Pay the state fee for drawing up the main contract.
Draw up a transfer deed and inspection sheet.
Sign the sales agreement and have it certified by a notary.
Receive payment for the apartment (perhaps, under the terms of the contract, the amount can only be collected after the transfer of ownership has been completed).
Pay the state fee, submit documents to Rosreestr for re-registration of property rights.
Receive an extract from the Unified State Register of Real Estate.

How to correctly draw up a contract for the purchase and sale of an apartment from 2 owners

A real estate purchase and sale agreement is a document according to which one party undertakes to transfer an object (apartment, land, house) into the ownership of the other. The seller is free to determine the value of the property himself or to engage a specialist appraiser to do so.

The agreement is drawn up in 3 copies in accordance with the rules established by § 7 of the Civil Code of the Russian Federation. Regardless of whether the property is joint or shared, the agreement contains information:

The name of the agreement, place and date of its signing.
Full name of one owner, if the apartment is registered in his name, or both co-shareholders, their passport details.
Description of the object for sale. It is necessary to indicate on what basis the seller acquired ownership rights, describe the apartment in detail: what floor it is located on, how many residential and non-residential rooms it has, their area. If the property is being sold by 2 co-shareholders, indicate the share of each in the common property.
Indication of the value of the property. It is necessary to indicate the total cost of the apartment and specify the price of the property shares of each owner.
Determine the payment procedure. The clause specifies when the payment is made, whether it will be in cash or by bank transfer, when the money is transferred - before registration of ownership or after, whether it is necessary to rent a safe deposit box.
Determination of the rights and obligations of the parties, liability for violation of obligations.
Information about the legal capacity of the seller and buyer.
Signatures of the parties to the agreement.

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Sample apartment purchase and sale agreement (two sellers, one buyer)

Sample purchase and sale agreement for an apartment (two sellers, two buyers)

How to split utility bills

After dividing the joint property, it becomes necessary to distribute payments for utilities.

Help: Division of a personal account is allowed only after registration of shared ownership rights in Rosreestr.

To open different personal accounts in the name of each owner, you must write an application to the management company, to which is attached:

copies of passport;
extract from the Unified State Register.

Utility payments are calculated in proportion to the size of each owner's share.

If the parties cannot independently agree on the division of utility bills, then they need to go to court. A statement of claim for the division of personal accounts can be filed simultaneously with a claim for the division of living space.

The claim is filed in the district court at the location of the property. When applying to a judicial authority, a state fee is paid, the amount of which is determined in accordance with Article 333.20 of the Tax Code of the Russian Federation.

What documents are needed to draw up a contract?

When selling an apartment from 2 owners, you will need the following documents:

owners' passports;
certificates of registration of property rights or (from 2021) an extract from the Unified State Register of Real Estate;
technical passport, cadastral passport (if the latter was issued earlier, it is not required to provide it, since it is an extract from the Unified State Register and is requested by Rosreestr employees at the cadastral chamber);
contract of sale;
deed of transfer;
an extract from the personal account confirming the absence of rent arrears;
additional documentation confirming the absence of encumbrances.

List of documents required under certain circumstances:

permission from the guardianship authorities to sell if the second share belongs to a minor, incompetent citizen;
consent of 14-18 year old child to sell an apartment;
consent of the second spouse to the alienation of jointly acquired property;
the shareholder’s consent to the sale if 2 autonomous transactions are carried out under different agreements on the sale of the share;
when making a payment through a safe deposit box - an agreement on the payment of collateral, a preliminary purchase and sale agreement, an agreement with the bank;
if the interests of the seller are represented by a third party - a notarized power of attorney.

The buyer has the right to request any documents to confirm the purity of the transaction, and the seller is free to choose whether to satisfy the requests or expose the transaction to the risk of failure.

Nuances when selling a communal apartment

This form of ownership is gradually becoming obsolete, however, in some localities there are still quite large 6 and even 9-room apartments that are communal. Their difference from shared ownership is that each room has one owner, that is, the existing shares are allocated in kind. Now the procedure for converting an apartment into a communal apartment is impossible: a separate entrance and individual communications are required, but as long as the communal apartments exist, they will be sold.

Having agreed on a sale, the owners benefit by increasing the price of the apartment, because individual rooms cost a third less than what can be gained by selling the entire property.

Do I need a notary?

An agreement on the sale of common property can be drawn up in simple written or notarial form.

If an apartment that is an object of joint ownership is being sold, notarization of the contract is not required by law.
When selling an apartment in shared ownership, the contract must be certified.

Depending on whether the certification is voluntary or mandatory, the amount of the state fee at the notary depends.

Tariff, state duty

Example. Shareholders sell an apartment and decide which is more profitable - to draw up 1 sales agreement, or 2. The cost of the property is 3.4 million rubles, the shares are equal. The state duty for one sale agreement from 2 owners will cost:

0.5% X 3.4 million rubles = 17 thousand rubles.

If 2 different contracts are drawn up, then the state duty for one contract will be halved, since the calculation will be based on the cost of half the apartment:

1.7 million rubles. X 0.5% = 8500 rub.

For technical work on drawing up one contract, the notary asked to pay 3 thousand rubles, and for 2, respectively, 6 thousand rubles.

It follows from this that one contract will be cheaper, but in some cases it is more profitable to draw up 2 separate documents, for example, if the cost of each share is not the same.

If a notary asks you to pay for 2 separate contracts an amount that is 2 times greater than when selling the entire object, you need to contact another specialist, since the calculation of the cost of the state duty for the sale of ½ share should be based on the price of half the object. Accordingly, the state duty will be half as much.

For assistance in drawing up an agreement, a notary will charge from 2 thousand rubles . In Moscow, such a service is more expensive - within 10 thousand rubles.

But all this applies only to contracts where notarization is required. If the parties decide to certify a simple contract on their own initiative, they will have to pay more (Article 22.1 of the Fundamentals of Notary Legislation). The amount varies depending on the price of the property:

Contract price

Percentage of the cost of the apartment with deductions (for unauthorized persons)

For close relatives

3000 + 0.4% of cost

7000 + 0.2% X (price – 2 million rubles)

3,000 rub. + 0.2% X (price – 2 million rubles)

The maximum amount of the notary fee for third parties is 100 thousand rubles, for relatives - 50 thousand rubles.

When drawing up an agreement, the payment for notary services varies between 2-10 thousand rubles.

Subsequently, the agreement is subject to mandatory state registration. At this stage the costs are borne by the buyer. The state duty is 2000 rubles. If there are 2 owners, and there is 1 contract, the state duty is divided according to the size of the shares.

Note! From 02/01/2019, the notary himself carries out the registration of the agreement. He must send documents to Rosreestr electronically during the same day on which the transaction was made, or in paper form within 2 subsequent days. According to the law, there is no payment for this service. The parties must pay only the amount for state registration ( 2000 rubles for receiving a paper extract from the Unified State Register of Real Estate or 1400 rubles for submitting documents electronically).

Taxes

Selling an apartment implies receiving income, which means you will have to pay a tax - personal income tax in the amount of 13% . However, there are some nuances:

if the property was purchased before 2021 , or after this date, but received through privatization, gift, inheritance or under a life annuity agreement, the tenure period for tax exemption must be at least 3 years ;
if the apartment was purchased after 2021 , the period of ownership for tax exemption is 5 years or more.

The seller can take advantage of a tax deduction equal to 1 million rubles. , or a deduction in the amount of the purchase price of the property being sold, but subject to the provision of relevant documents. for co-owners who intend to receive a deduction in the amount of 1 million to enter into separate purchase and sale agreements. Otherwise, a benefit of 1 million rubles. will be divided between them in proportion to their shares in the property.

Without studying the legislation, it is difficult to understand the concepts of joint shared ownership, not to mention drawing up an agreement on the alienation of property in compliance with all the rules. Mistakes made out of ignorance, for example, ignoring the interests of a minor or the opinions of co-owners about the sale, can lead to a challenge to the transaction.

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How to avoid risks when buying an apartment from two owners

Purchasing housing on the secondary market can result in significant losses for the future owner of the property. This is due to the fact that residential space can be in common ownership, which can be of two types:

joint property – owned by more than one person without distribution of shares. Most often it occurs when spouses purchase housing while they are officially married;

shared ownership - characterized by the presence of shares in the ownership of property obtained as a result of inheritance, privatization for all family members or neighbors in a communal apartment, purchase of an apartment with the investment of money by two or more co-owners.

This is important to know: Registration of purchasing an apartment through the MFC

In this article we talk about typical options for resolving legal issues, but each case is unique. Take advantage of a free consultation specifically for your specific case, call right now by phone: (it's free)

When purchasing an apartment from two owners, it is assumed that both homeowners have consent to the alienation of their property. The difficulty of conducting a transaction for the purchase and sale of common property also lies in the fact that the allocation of a share does not imply the provision in kind of any number of square meters. The exception is for communal apartments, where the owner's share of ownership corresponds to the property.

If there is no agreement between the co-owners of the property on the sale of the entire apartment, then the buyer will have to refuse the deal. There are no legal ways to buy residential premises that are in common ownership without the consent of all owners.

When one of the owners of the apartment is categorically against the sale of the apartment, the second co-owner can go through the procedure of allocating his share, and after that dispose of it at his own discretion - sell, donate or exchange. This applies to cases where housing is jointly owned. If the status of the apartment is common shared ownership, then each co-owner has the right to dispose of his part of the property.

The only limitation in this case is the pre-emptive right of co-owners to the priority purchase of the “neighbor’s” share. A month before the proposed transaction, the owner of a part of the property is obliged to notify the other residents of the apartment in writing about his intention to sell the share. The notice must indicate the price and all conditions of sale.

If the co-owner of a share in the apartment lives at a different address, you will have to send him a registered letter or telegram notifying him of the sale. The situation is more complicated when the location of one of the co-owners is unknown, and he does not appear in the field of view of the apartment residents for a long time. Then you will have to go through a judicial procedure to recognize such a co-owner as missing.

When does it occur?

The law says one thing about the emergence of shared ownership of housing after its purchase: it appears from the moment the right is registered. According to Art. 223 of the Civil Code of the Russian Federation, when alienating real estate (an object the rights to which are subject to state registration), the buyer’s right of ownership arises at the moment when state registration took place. Since any housing, by law, clearly belongs to the category of real estate (this is clear from the content of Articles 131 and 288 of the Civil Code of the Russian Federation), this rule applies to it as well.

It must be remembered that when buying an apartment, equal shares are not required . For example, if there are two buyers and one of them contributed 2/3 of the cost, and the second paid only one third, then both the contract and the subsequent entry in the Unified State Register will indicate that one person owns 2/3 of the property right, the second only 1/3.

REFERENCE! It is not necessary that the size of the shares be determined based on the amount contributed: the parties have the right to enter into a separate agreement on the division of shares or indicate them in the agreement independently. For example, when a family with children buys an apartment, parents can allocate shares for the children, even if the children, due to their age, did not contribute a single penny towards the purchase.

Features of buying an apartment from two owners

Once the consent of all co-owners has been obtained, you can begin the procedure for finalizing the purchase and sale transaction of the apartment. It is important for the buyer to make sure that all risks of purchasing housing in common ownership are minimized.

If an apartment is purchased from legally married spouses, then a notarized consent of the husband/wife for the sale of real estate will be required. If they have minor children, even those who do not have the right to shares in the apartment, permission from the guardianship and trusteeship authority to sell the home is required. The same rule applies to family members declared incompetent by the court.

Before buying an apartment from two owners, a potential purchaser of real estate must check the certificate of registration of ownership, which indicates all co-owners of the property and the size of their shares in the right. A useful step would be to check the compliance of the passport data specified in the “pink” certificate with the personal documents of the sellers of the apartment.

In order to be sure of the legal purity of the apartment, you need to order an extract from the Unified State Register for the purchased residential premises. Such a document can be ordered from the Rosreestr service or the territorial MFC (multifunctional center). The extract contains the following data:

description of the living space;
information about registered rights to the property;
information about current encumbrances on the apartment (arrest, mortgage, rent);
information about ongoing legal disputes regarding this housing.

Before making a final decision to purchase an apartment with common ownership, it is necessary to check the existence of third parties who have rights to this property and registered residents there. To do this, the seller must provide:

a certificate from the Housing Office stating that all residents of the apartment have been deregistered;
extended extract from the house register;
a certificate from the FMS passport office about persons who have the right to use the apartment (registered at the place of stay).

Particular care should be taken to check the presence of temporarily discharged apartment residents (who are not co-owners) who retain the right to reside and use the living space after the sale:

persons undergoing military service;
persons in prison by court verdict;
minors placed in children's educational institutions;
elderly and sick people in specialized institutions.

If the apartment is sold under a power of attorney issued by the co-owners to a third party, then you should check the valid status of this document. It may happen that the power of attorney has been revoked and the transaction made under it will be declared invalid.

Checking the status of utility bills is a necessary precaution that the buyer of an apartment in common ownership should take. Sellers must present an extract from their financial personal account, which records the absence of debt.

Privatized living space

If ownership arose as a result of privatization, then the owners can divide the object at any time. To do this you need to do the following:

negotiate the size of shares with all family members;
contact the guardianship authorities if there are minors among the owners;
prepare a package of documents;
submit an application to the Companies House.

To register the division of shares in a privatized apartment, you must provide the following documents to Rosreestr:

agreement;
passports of all participants in the transaction;
birth certificates for minors;
permission from the guardianship authority;
technical documentation for the facility;
privatization agreement;
receipt for payment of state duty.

The size of real estate owned by each family member is established on the basis of a privatization agreement.

Agreement for the sale and purchase of an apartment in common ownership

The form of the contract for the sale and purchase of an apartment purchased from two owners does not differ from the generally accepted one. The difference is that the contract will be tripartite - in addition to the buyer, two owners of shares of the property are indicated as the seller. The agreement specifies all the details of the co-owners, the size of the parts of the common property belonging to them and the value of the shares.

In addition to information about the owners, the agreement must contain information about the alienated real estate:

object of sale (apartment, room);
location (mailing address) of the residential premises being sold;
living and common area;
the floor where the apartment is located;
cadastral number of the property.

The agreement must include a clause describing the procedure for transferring money to co-owners for their shares in the purchased apartment. The most convenient method of payment is by renting safe deposit boxes. The buyer places in each cell the amount determined by the contract for each of the co-owners of the apartment. After the procedure for registering the right is completed, settlement will be made with the participation of the bank.

Purchasing real estate with two or more owners always involves a certain risk. The more seriously the buyer approaches checking the title and “history” of the apartment, the less likely he is to lose his own money and moral strength in numerous lawsuits.

Still have questions?

If one of the owners of the apartment is a child

What to do if one of the owners of the apartment being purchased is a child? The consent of his parents or guardians is not enough here. In order to purchase property owned by two owners, one of whom is a minor, you must obtain appropriate consent from the guardianship authorities. Permission will naturally be obtained by the parents or guardians, but the buyer must ensure that such permissions have been obtained. Otherwise, the transaction may be subsequently declared illegal.

It is also worth looking at the list of persons registered in the apartment. If a child is registered there, this is also a kind of obstacle to purchase. You can’t just write him out, the guardianship authorities prohibit it. Therefore, it is worth making sure that there are no minor children on this list. And if there is, it’s worth waiting for the moment when he is discharged from there and registered at a different address.

Features of buying an apartment with two owners

Selling an apartment is a labor-intensive process that involves at least two persons - the seller and the buyer. The legislation of the Russian Federation states that there can be more than one owner, and accordingly, questions arise during the transaction. In the field of buying and selling real estate, it is easiest to fall into the hands of scammers. The article describes the main nuances that arise when buying an apartment from two owners; it also discusses the issue of involving a minor in the transaction and the main risk factors for the buyer.

The main points when buying real estate with several owners

Questions arise when buying a home from two owners when, according to the documents, there is only one owner, but in reality there may be more. It is impossible to legally sell property without the permission of the legally capable owners.

Real estate owned by two or more persons occurs in the following cases:

purchase of housing by two or more persons;
implementation of privatization for several people;
receiving an inheritance for two or more relatives;
purchase of property by legal spouses.

The legislation of the Russian Federation determines that there are two types of owners:

Shared ownership

When purchasing living space with two owners, the personal presence of the owners and the relevant documents are required:

purchase and sale agreement for real estate in shared ownership;
certificate of ownership or extract from the Unified State Register of Real Estate;
written notice of refusal to sell a share if the second owner refuses to participate in the transaction.

The process of buying an apartment with shared owners is as follows:

Preparation of documents.
A written notice from one owner to another about an offer to buy out a share.
In case of refusal, find an acceptable option that will suit the parties to the transaction.
Draw up an agreement indicating the buyer and two owners.
In a situation where one of the owners is absent, an acceptable option is to provide a notarized permission to sell the property, thereby only the buyer and one seller will be present at the transaction.

Joint ownership

The spouse's consent to the sale is drawn up on a form that is notarized.

The contract for the sale of property is concluded alone, the details of the second spouse are not indicated, only a signature is placed in personal presence at the transaction.

A prenuptial agreement is one of the nuances of selling real estate in joint ownership. The agreement clearly states the rights of the husband and wife, and the sole owner of the property.

Inheritance also gives full use rights to one of the spouses, without the possibility of ownership by the second.

Detailed Guide

When contemplating the sale of part of the living space, it is necessary to take into account that this transaction is impossible when the property is under common management.

This follows from the fact that in fact there is no share in the real estate property. In order to carry out legal actions with this area, it is necessary to allocate a share in it and have it certified in the manner prescribed by law. After allocating the appropriate share and entering it into the unified state register of rights indicating the owner, it is possible to begin its sale.

In order to avoid further appeals against the completed alienation and recognition of actions for the sale of property as illegal, the following conditions and sequence of actions must be observed:

Discuss the upcoming implementation of the part with the other owners. If someone decides to buy a share, it is allowed to do without written notice. In other cases, you should not rely on verbal assurances. It is necessary to prepare an official notice indicating the criteria and prices
Get a response from other owners If you receive a refusal, you can begin formalizing the alienation of property with other third parties. Otherwise, you need to wait until the month has expired.
Search for a client in case of refusal of other owners to purchase. Search for a client is allowed by any methods (media, real estate agencies, websites)
Discussion of the main points of the transaction with the client. So, you have found your client, you need to discuss all the essential terms of the alienation with him. These conditions must be identical to those specified in the notice. If the client wants to change the terms of the transaction, notices with different conditions must be sent to all owners again and wait another month. In this case, you have no guarantee that any of them will not agree to buy out part of the home ownership
Signing a transaction for the acquisition or sale of property If the parties to the transaction have agreed on all essential conditions, it is signed and certified by a notary
Preparation and signing of the transfer and acceptance certificate The named document is an integral part of the agreement, on its basis the direct transfer of the share is made
Registration of the transaction and entering information into the Unified State Register The client submits papers to register the transfer of ownership. The presence of the person alienating the property is not required, since the contract is certified by a notary.

Purchasing an apartment in a building under construction

When deciding to buy real estate in a building under construction, you need to be aware of a certain risk, since the seller will have the property only after the house is delivered. For this type of transaction, it is necessary to draw up an agreement for the assignment of the right of claim. And also for legal re-registration you will need the official consent of the developer, who is the owner of the apartment. If the seller has repaid the debt to the owner, then notice is provided, but in the case of a residual debt, consent will have to be sought.

Another type of ownership with established shares is a partnership. The buyer will have to join the community and pay shares, which are determined by an agreement with prescribed terms and amounts. After delivery of the house and payment of the described shares, the buyer becomes the full owner of the property.

What are the pitfalls?

The current legislation in some cases provides for a complete ban on the sale of a share in property. The Civil Code of the Russian Federation prohibits the alienation of shares in living space through the conclusion of an assignment (assignment of the right of claim). This type of agreement is often used in legal practice, however, in the specific case under consideration this type of transaction is prohibited.

The only option in which it is allowed to sell part of the living space without notifying other owners is to sell it at a public auction. This method is used by creditors to sell a share in living space if the debtor has no other property or is insufficient.

But not every share in the living space is allowed to be taken away to account for the unpaid capital, since in accordance with the current legislation it is impossible to take away the only residential property.

There are only two options in which this exemption is allowed:

in the event that part of a land plot, apartment, house or other residential property appears as collateral when applying for a mortgage (in this case, it is allowed to take into the only dwelling);
provided that the defaulter does not live in the house in which he owns part of the living space, and is continuously registered at a different address or has another living space in his possession.

Contract for sale with two owners

The document confirms the consent of the parties to the transaction to re-register the property. Copies of the agreement are drawn up depending on the number of legal sellers and buyers.

Regardless of the type of ownership, the contract includes the following mandatory clauses:

name of the document, date and place of execution;
personal data, indicating full name;
description of housing - method of acquiring real estate, basis, location, area, with the footage of residential and non-residential rooms, as well as the share of each owner;
real estate price – total and divided into shares;
rights, duties and responsibilities of the parties to the transaction;
a note on the legal capacity of buyers and seller;
handwritten signatures of the participants.

Documents for the transaction:

Participants' passports.
Documents confirming ownership.
Documents for the apartment (technical, cadastral passport, house register, housing and communal services certificates about the absence of debt).
Agreement.
Deed of transfer of real estate.
Other documents in case of additional encumbrances (mortgage, minor, incapacitated, etc.).

How to draw up a contract

The agreement has a standard form, but there are some features that need to be taken into account when drawing it up. The main thing is the need for an accurate description of the part of the property being sold with the obligatory indication of the fractional or percentage ratio to the total area of the premises.

The document must include the following items:

Information about the parties to the transaction, their full names and passport details.
Subject of sale (address of its location, basic parameters, description of the share).
List of people remaining to live after the sale of the apartment.
Calculation scheme.
Rights and obligations of participants.
The procedure for transferring property.
Signatures of participating persons.

The agreement may include other terms detailing the arrangements.

The transaction of alienation of a share requires mandatory certification by a notary . The specialist can draw up a sales contract himself, taking into account the wishes of the parties and in compliance with legal acts. In addition, he can register the transaction with the appropriate service. Such services will entail additional material costs.