Avoiding large utility bill after transfer of ownership?

[kfort]

Hello, I have a question. I recently purchased a property that I will be doing some reno's to. One of those is replacing the 50 year old, poorly maintained toilet. It is running almost non-stop. The current owner has been notified multiple times and, of course, since the property is sold, does not appear to be willing to fix it.



Question, how do I avoid a utility bill of multiple thousands of dollars after the transfer of ownership since the current tenant is on 'equalized' payments? I take possession vacant and will be renovating to increase rents. What do I do if 6 months from possession I DO get a large bill form the city for water?

 

[OurRealtor]

Your lawyer must have closing day balance sheet, anything outstanding must have been known to Lawyer/ your agent.

They must have disclosed it to you.

 

[Thomas Beyer]

[quote user=kfort]What do I do if 6 months from possession I DO get a large bill form the city for water? you pay it as you are now the owner.



You MAY HAVE recourse against previous owner, depending on what your contract states. The question is: Is it worth going to court for $600 in water bills ?

 

[kfort]

$600, never... however I recently heard a story of a $5,000 water bill due to equalized payments.... then, I think so. But I would still let my lawyer advise me on if there was a point. What I'd love to do is set up some kind of exact meter read/billing to current tenants prior to ownership transfer. Then if it is a 5k charge it is not attached to my name!

 

[Thomas Beyer]

[quote user=kfort]What I'd love to do is set up some kind of exact meter read/billing to current tenants prior to ownership transfer.


That is usually done by utility firm on property transfer, is it not ?



and yes, your lawyer should suggest to withhold some $s from purchase price but the seller does NOT have to agree to that !

 

[Mike Milovick]

Hi Kris;



Ask the utility company for a "final meter read" on the date of completion.



Any bills racked up prior to the date of completion will the previous owner's responsibility.



Mike

 

[OurRealtor]

Wrt to a new 4 yrs old condo house situated in AB. Why condo fee does't cover plumbing/latrine leak. Property Manager deducted it from rental amount of landlord.

Why don't they check with the developer of unit. They are saying toilet paper is not covered. In another messags PM says:

The guts inside the toilet weren't working properly therefore the toilet was leaking water.

Moreover on a simple invoice sent, property manager is showing it as plumbing at Fab Inv. I don't know what it is for?

Should it not be charged to tenant rather then LL?

 

[kfort]

Thank you all for your replies. I'm going to try and schedule something with the City for July 1 or slightly prior to read the water meter and go from there. July 1 the water will be turned off and demo of the bathroom starts. New toilet should actually look/function top notch!