The housing savings cooperative was created by citizens of the Russian Federation on a voluntary basis. The purpose of the union- meeting the needs of members of the cooperative for housing.
To regulate legal relations, Federal Law No. 215 "On Housing Savings Cooperatives" was created.
The essence of 215 FZ
Federal Law No. 215 "On Housing Savings Cooperatives" was adopted by the State Duma on December 22, 2004, and approved by the Federation Council two days later of the same year.
The law defines the economic, legal and organizational principles of cooperatives 'activities in order to use citizens' funds for the construction or purchase of new housing.
Read about the latest changes in Federal Law 89
Summary of Federal Law No. 215:
- Chapter 1 - lists the general provisions of this Federal Law;
- Chapter 2 - discloses the liquidation, creation or reorganization of a cooperative;
- Chapter 3 - lists the main provisions on the work of the cooperative, including the use or attraction of funds for the acquisition of new residential premises;
- Chapter 4 - describes the methods of managing the housing cooperative;
- Chapter 5 - controls the activities of the association and ensures the financial stability of the activities;
- Chapter 6 - lists the transitional provisions and the entry into force of the bill.
The latest amendments to the law "On housing savings cooperatives" were made on July 3, 2016.
Last changes
As mentioned above, the latest amendments to Federal Law 215 "On housing savings cooperatives" were made on July 3, 2016. In particular, the following articles have undergone changes:
Article 14 changed part 3. The Bank of Russia may require the court to liquidate a cooperative if repeated requirements that were listed in this Federal Law have been violated.
In article 17, paragraph 1 of part 1 has changed. It says that if a cooperative has created its own personalized charter, it must notify the self-regulatory organization about it. In particular, forms of participation in cooperatives should be adopted if such documents are available.
Paragraph 2 was amended. It states that information must be provided about the persons who are part of the housing cooperative. If a separate organization was created that unites housing savings associations, then information about such an organization must be transferred.
Article 20 set out part 3 in a new edition. It states that the annual report, previously created by the cooperative, must be submitted to the Bank of Russia or a self-regulatory organization (if the Bank of Russia has delegated to it the authority to conduct an audit of financial statements).
Article 27.
Part 6 of Article 27 was amended. The forms of participation that have been established by this Federal Law can be sent by the housing cooperative to a self-regulatory organization in order to receive an opinion in the form of an official document.
P 5 article 48 was amended. It says that a member of the association has the right to contribute his or her home in the form of a contribution to the joint capital or otherwise participate in the creation of the property of legal entities. An exception is the creation of property for a self-regulatory organization in the field of the financial market, which has united several housing savings associations.
Clause 8 Part 1 of Article 51 was amended. It states that the Bank of Russia may receive copies of documents from the self-regulatory organization and housing cooperatives, which are necessary to assess the pre-established requirements for financial reporting.
Part 1 of article 56 was set out in a new edition. It says that housing savings cooperatives can join a self-regulatory organization that unites similar organizations. For this, the procedure of the Federal Law "On Self-Regulatory Organizations in the Financial Market" is applied. Additionally, legislative acts that have been adopted by the Bank of Russia are taken into account. Documents must be accepted within 90 days after the occurrence of one of the following cases:
- The non-profit organization received the status of a self-regulatory organization in the field of the financial market;
- Participation in a self-regulatory organization has been completed;
- A housing accumulative cooperative was created.
Below are the main articles of the Federal Law "On Housing Savings Cooperatives":
Provides for the responsibility of the association. The cooperative is responsible for its own obligations and property belonging to it. However, it is not responsible for the obligations of its members.
Article 7 of the Federal Law 215
Article 7 lists the rights of members of cooperatives:
- participate in their activities and nominate themselves for management positions;
- agree or oppose acquisitions for the merger;
- enjoy the prescribed benefits;
- request information of interest from the manager;
- bequeath or transfer your share for free use;
- when transferring your share, receive funds;
- to claim the living quarters provided by the law.
Download the law on housing savings cooperatives
The Federal Law "On Housing Savings Cooperatives" regulates relations associated with the activities of organizations, the procedure for their creation and the rights and obligations of participants. To learn more about the latest edition of the Federal Law, download it at.
Some of the most important questions that are of interest to buyers of new buildings: Is it possible to buy this new building? Is it profitable to invest in a specific residential complex? Are the buyer's rights protected?
In response, you can always hear from the representative of the developer: Of course, construction is being carried out according to 214 FZ, and not 215. And everyone nods their heads in the affirmative, but in fact, is it clear how exactly the buyer is protected by FZ No. 214? How does it differ from Federal Law No. 215?
ФЗ №214- this is the law on participation in shared construction, replaced from July 1, 2019 by the concept of project construction of apartment buildings and other real estate, ФЗ №215- this is the law on housing savings cooperatives. From this follow their distinctive features:
Previously, Federal Law 214 was formalized by an equity participation agreement; from July 1, 2019, developers will be able to attract citizens' money only to special accounts in authorized banks. That is, the client will pay for the construction of his apartment not to the developer, but to the bank. The funds will be held in special escrow accounts until the completion of the construction of the facility and the commissioning of the house.
In addition, the construction company must have equity capital of at least 10% of the total project cost of building a house. At the same time, the opportunity to buy an apartment at the initial stage of construction will remain the same.
Construction companies will invest in construction either their own funds or loans taken from banks.
These changes will minimize the risks of citizens from the loss of client funds. In turn, after the completion of construction, the buyer is obliged to accept the apartment in accordance with the inspection certificate.
FZ-214 strictly stipulates the period, the period according to which the developer is obliged to transfer the construction object, the specific project construction object to be transferred on the basis of ownership, the price, the period for its payment, the warranty period for the construction object are determined;
Federal Law 215 provides for membership in a cooperative, thus strengthening the relationship between the housing cooperative and its participants. Entry into a housing cooperative is determined by the charter of the housing cooperative itself and the Housing Code of the Russian Federation, but not by the law of Federal Law 215. You can become a member of the housing cooperative after submitting an application to the housing cooperative and paying the entrance membership fee and the first share contribution. In this case, information about the participant is transferred to the state register of legal entities.
Members of a housing construction cooperative may have obligations under the charter, for example, it may be an obligation to pay membership and entrance fees (in addition to shares). Therefore, it is necessary to carefully study the charter and all constituent documents of the housing cooperative, as well as what is the procedure and size of contributions to be paid and the payment schedule itself, etc.
Which provisions of Law No. 214 protect the participant of project financing of construction?
The bank, in whose account the funds of citizens will be placed, will control and have the right to refuse to carry out operations related to the misappropriation of funds. Other monetary transactions for the construction of an object outside the framework of the law on shared construction will be prohibited.
According to Article 12.1 of the Federal Law No. 214, the developer's obligations must be ensured in one of the following ways:
1) According to Articles 13-15 of the Federal Law No. 214, a pledge,
2) According to article 15.1 of the Federal Law No. 214, a surety
3) Liability insurance in the event of bankruptcy, or a bank guarantee, for failure to fulfill the obligation to transfer the object.
What does a participant in an equity participation agreement get from these methods of securing obligations?
1) refund of money contributed by the participant under the equity participation agreement or by virtue of Law No. 214,
2) payment of damages, penalties, fines, penalties that are due to a participant in shared construction for late delivery of a real estate object or improper fulfillment of obligations by a developer to transfer rights to an object, as well as all payments secured to him by an agreement and (or) federal laws.
The conclusion of an agreement on the purchase of an apartment according to FZ-215 means that a future member of the cooperative wants to acquire housing, becoming a member of the cooperative and investing his own funds.
This form of contract is perfectly legal and more attractive in terms of cost. This is due to the lack of cash insurance, payment of VAT, the ability to hire less expensive contractors (who agree to work for cash).
When buying an apartment according to FZ-215, you can use maternity capital and take out a mortgage. Houses are usually low-rise and are built quickly.
But the risks in the acquisition are much greater, ranging from the lack of insurance to the impossibility of putting the facility into operation.
For the participants of the housing cooperative, the return of the money invested is possible only upon leaving the cooperative. The housing cooperative can return them only if the necessary funds are available on the account. If there is no money there, the payment is impossible. All legal issues are resolved only according to the charter of the cooperative.
Buying a new building in Krasnodar is not a problem. There are a lot of housing being built here, of different plans, sizes and quality, and in almost all areas. In Krasnodar, the construction of new buildings is carried out in accordance with federal law 214-FZ or 215-FZ. Let's take a look at what these laws are, which is better, and how to minimize the risks.
Before you give your hard-earned money for a new apartment, it is better to study the laws according to which the transaction is carried out. After all, this is not a typical purchase and sale, since the subject of purchase does not actually exist yet. Sometimes, instead of an apartment, there is only a cleared area for construction or one foundation.
And now you, having paid the requested amount, are forced to languish in anticipation until the "right to claim" turns into a finished apartment.
New buildings under 215-FZ
Acquisition of a new building through a housing construction cooperative (HSC) is a fairly common way of acquiring housing in the primary market of Krasnodar and Adygea. This form of real estate purchase is completely legal. Housing cooperative is not a sharashkin office and often, houses are built quickly and well. The housing construction system in the Krasnodar Territory has existed for over 20 years. But buyers are less protected by the state than when purchasing housing under 214-FZ. I'll explain why below.
Pros of 215-FZ
- 1. The main plus - the cost of an apartment is lower than the same one purchased under 214-FZ. This is due to the fact that there is no compulsory insurance of new buildings in the housing cooperative and the contributions are not subject to VAT.
- 2. There is a possibility of using maternity capital and mortgages.
- 3. Despite the fact that there is no compulsory insurance, the buyer can independently insure the transaction in the insurance company of his choice.
Cons and risks of 215-FZ
- 1. Penalty for the disrupted terms of delivery of housing in the housing cooperative is not provided. That is, you can plan to move into a brand new apartment this fall, but in fact get your home in two years, and no one will pay you a penalty. Or maybe everything will be built on time. Nobody will tell you exactly, and you take on the risks.
- 2. If you terminate the contract with the housing cooperative and file a lawsuit - this does not guarantee the return of your money. The housing cooperative pays money only if it has funds in its account. No funds - no payments.
- 3. The Law "On Protection of Consumer Rights" does not apply to facilities built in accordance with 215-FZ.
New buildings under 214-FZ
According to Law 214, the buyer concludes with the developer or his representative Equity Participation Agreement(DDU). Today this is the most secure way to buy a new building. From the very beginning, the buyer is under the protection of the state, because even before the developer gets the opportunity to conclude a DDU, he must collect a package of necessary documents. This is a certificate of ownership or a long-term lease for land, and a building permit, and the conclusion of an examination of project documentation and many other documents. And they are not distributed to the right and to the left.
Advantages of 214-FZ
- 1. The text of the DDU contains all the obligations of the parties to each other - terms, amounts, footage, the contract clearly defines not only the area, but also the apartment number. That is, you are purchasing not just some square meters, but a specific apartment. According to 214-FZ, at the time of signing the DDU, the shareholder automatically becomes the mortgagee, while the mortgage property on the part of the developer is the land on which the residential building is being built.
- 2. For failure to comply with the terms of delivery of the object specified in the contract of shared construction, the developer bears financial responsibility. In case of violation of the terms, the buyer has the right to force the developer to pay compensation through the court.
- 3. 214-FZ forces the developer to perform work efficiently, each object is covered by a five-year warranty, the obligations of which are covered by the developer.
Cons of 214-FZ
Are there any drawbacks to 214-FZ? Alas, there is. Perfect laws do not exist and no one can get one hundred percent guarantee.
- 1. No law can guarantee that the house will be completed and the buyer will receive his apartment. The developer may have circumstances beyond his control that do not allow the completion of the construction. In this case, the buyer will return only part of his money, but not the entire amount of the invested funds. The fact is that according to 214-FZ, when a developer goes bankrupt, the shareholder becomes a third-priority creditor - first, the salary claims of workers at the construction site, the claims of banks, etc. are satisfied.
- 2. The prices of apartments under construction under 214-FZ are usually higher than under other types of contracts - under contract 215-FZ or from a private developer.
So, before giving money, carefully read the contracts, look at all the documents, get reviews, look at the finished objects. Take some time and make yourself as safe as possible.
In addition to the fact that the deadlines were delayed for a year, the house has not yet been connected to communications and transferred to the management company. And the most difficult thing in this is to turn the situation in your direction. It is almost impossible to get your money back. How to find a buyer for such an apartment.
Blame it all construction of a Housing Cooperative under 215 FZ... It is on it that housing cooperatives usually conduct construction. And this is initially - the absence of any guarantees.
The main points, which are fundamentally different from those on which developers act in shared construction. Initially, the ZhSK has a specific judicial practice to resolve disputes between the members of the ZhSK. Initially, Housing Cooperatives have the right to operate outside the scope of 214 FZ. What does this mean?
In addition to the cost of square meters, you will have to pay entrance fees, which can grow up to 5 percent of the cost of the apartment. At the same time, the housing cooperative has the right to collect membership fees not only for the maintenance of the object, but also for its completion, if suddenly the money runs out.
A separate conversation about the contract. Under 214 FZ, the developer draws up only one contract, to which there may be annexes and additional agreements. In which the terms of construction, and the cost of the object, and penalties are prescribed. The shareholder of the housing cooperative, in addition to the contract, is obliged to sign the charter... The regulations of which have nothing to do with the norms of civil obligation
And what is most important - buying an apartment through a housing cooperative, you should not count on the law "On Protection of Consumer Rights"... It just isn't applicable. Therefore, a buyer of real estate through a housing cooperative is legally much less protected than a shareholder who buys an apartment from a developer.
Therefore, when buying real estate, first of all, you need to pay attention to what law is under construction. Previously, you can find out about the legality of the object on the website of the Krasnodar administration. Objects under construction with violation can be seen on an interactive map by following the link Samostroi Krasnodar. But, even without finding an object there, it is worth clarifying information about the legality of the construction by calling 218-91-32 and 218-91-05.
It is not difficult to buy housing in a new building on the territory of Russia today: a wide variety of options is offered to choose from in any area, with different layouts of apartments and their sizes. The construction process is simultaneously regulated by two laws - federal laws 214 and 215. Each of the laws has its own characteristics and advantages. However, buyers will be able to determine how fz 214 differs from fz 215 and choose the best option for themselves only after their detailed study.
Differences between FZ 214 and FZ 215
Construction under 215-FZ
A common way of obtaining housing within the primary market is buying apartments in new buildings through housing cooperatives of housing cooperatives. The essence of Federal Law 215 is fully related to this procedure. The main advantage of the law boils down to the fact that under 215 FZ it is possible to get an apartment at a more affordable cost than through 214 FZ.
This feature is due to the fact that the housing cooperative does not imply compulsory insurance, and the contributions of equity holders are not subject to VAT. In addition, according to 215 FZ, there is the possibility of using mortgages and maternity capital. The client will be able to independently insure the transaction by choosing the preferred insurance agency for this.
In accordance with Federal Law No. 214, it is planned to sign an Agreement on Equity Participation of a DDU between the parties to the construction transaction. Today, this method of acquiring apartments in new buildings is considered the most secure. Initially, the buyer is protected by the state, since the developer has the right to draw up a contract only after the complete collection of documentation. In the text of the contract, the smallest details of the transaction are prescribed, starting with the timing and cost and ending with the footage of the apartment being purchased.
An important feature of 214 FZ is the recognition of a land plot as a collateral of the developer, the holder of which is the buyers of apartments. In case of non-compliance with obligations, the developer company pays a fine, in addition, for the violated terms, the client may demand judicial compensation.
Choosing between the two laws in force, priority should be given to Law 214 FZ. A significant advantage of Law 214 over 215 is the requirement for high-quality execution of construction work from the customer. Any construction site is covered by a 5-year warranty, under which all obligations are also covered by the developer.
