Until March 1, 2019, there are amendments that allows you to build a cottage, and a private farm without permits for construction and commissioning. Instead, we introduce notification procedure for the erection. The measure is intended to simplify the registration of objects of individual housing and smallholdings. What impact it will have in reality Russians are building vacation homes and the market in General?
Construction without a permit
4 August 2018 began the Federal law from 03.08.2018, No. 340-FZ “On amendments to the town planning code of the Russian Federation and certain legislative acts of the Russian Federation”. In accordance with article 51.1. The town planning code of the Russian Federation till March 1, 2019, the owner of cottage or garden land is no longer required to obtain a permit for the construction and commissioning of objects of individual housing, cottage and garden houses as well as structures for smallholders. The copyright holder receives the right to send to the Executive authority or local self-government notification of planned construction or reconstruction of houses, dwellings or object of individual housing construction. However, if you notice before March 1, 2019 will not be sent, a house can recognize the subject demolition. After March 1, the law will end (if not followed by its extension), and the situation will return to what it was before: permission for the construction of a private house again, it will be necessary.
In practice, effective change means that the land owner is developing the project, sends it for approval to the local authorities, says the managing partner of the company “Metrium”, a member of the affiliate network of CBRE Maria Litinetskaya. If the object of individual housing construction and permitted use of the site complies with the law, then the developer needs no permits after seven days it can begin construction. To receive notification on the conformity of object of individual housing norm should only submit the title document to the land and the project. And this can be done through public services. In other words, individual builders do not need a separate permit for the construction and commissioning of the facility, if their home meets standards. This procedure will simplify, and thus speed up the construction of housing by citizens.
The amendments are good, but time is short
According to the lawyer of Penny Lane Realty Boris Barytine, this law is in effect a continuation of the theme of “dacha Amnesty”, providing simplified order of registration of objects of suburban real estate. It is designed to organize all processes in the market to legalize the possession of the owner of the property, and at the same time to expand the audience of taxpayers or “tax field”. Although the owners of the houses are not particularly interested in becoming taxpayers, and a “stick” itself to them, not particularly seductive, the role of the “whip” there is a need to implement the property and the mood of the buyer. And the mood of the buyer today is clear people are becoming more literate, correctly assessing their risks and not willing to buy the unregistered object. “Over the past few years after the actual tightening of commissioning of residential buildings, the number of qualified customers who turn to us for construction has increased markedly, confirms the General Director of Vesco Construction Vadim Ivkin. They are already in the process of construction with the building permit or at least received planning permission”.
Moreover, now armed with tax service quadcopters which carry out aerial photography, warns the head of sales Department of town and country real estate office “In Kiev” of “MIEL-offices of real estate” Svetlana Volskaya. And if the owner does not register it properly, the tax can still detect and impose taxes. While there is always a chance that tax amount will be comparable with the true value of the object, and will have to spend a long time in the courts, challenging the wrong assessment. Thus, registration of a country house allows you to get just the right amount of tax.
However, that raises some questions the duration of the project March 2019, said Svetlana Volskaya. This is very small for the legalization of a large number of objects. If the authorities will extend the validity of this law by analogy with the “dacha Amnesty”, then it makes sense.
In line with presidential decrees
According to Mary Litinetskaya, individual housing construction is developing rapidly: of the 34 million sq m of housing was commissioned in January and July 2018 in Russia, 17.6 million (52%) was built by individual developers. In comparison with January-July 2017 the volume of individual housing construction increased by a third, while a housing professional property developers declining. “Since the President has set a target to bring the annual volume of new housing up to 120 million square meters, the authorities are taking measures to simplify the administrative approval of individual housing construction”, said the expert.
The economy decides
However, if to talk not only about construction, but about the organized market, this measure to him did not resonates, pay attention Boris Barutin. Activity developers can spur the growing demand or other market mechanisms. Although administrative barriers exist, they do not restrict the building process and the unfavorable market conjuncture, on General negative economic backdrop. The increase in the volume of construction not included in direct dependence from the sphere of approvals and registration built premises, agrees to partner and commercial Director KP “Golden Pine” Anton Alimov. The basis for the growth of cottage construction is the availability of money and financial instruments from the developer or the final buyer, as well as in the formation of a quality product.
Registrations will be more
Experts agree that this measure is unlikely to spur the Russians to build summer cottages. After all, no purchase of land or the construction process more accessible and will not be cheaper.
And yet, to increase registration of already built housing such as may well, says Vadim Ivkin. Private developers are, in principle, over the last 5-10 years already think differently and understand that the registration of the house no longer avoid, as it was common before. And all depends on the time of registration. Of course, “Amnesty” is much easier and faster to do the action: 3-4 weeks instead of 2-3 months. “Based on the information provided, this law is aimed more at the conclusion of the shadow already existing but not yet registered buildings,” agrees Svetlana Volskaya.
Taxes to spur the development of taste
In addition, one of the consequences of this step can be adjustment of the secondary market of the houses located on the “nonconceptual” and “uninteresting” from the point of view of the meaning of countryside recreation territories, predicts Anton Alimov: “Maybe in 2-3 years after will was most of the buildings in all cottage settlements of a different format, current owners and future buyers will have a sense of taste and understanding of really good projects. The obligation to bear the tax burden for the property, or otherwise, will increase the level of knowledge and requirements as owners and prospective buyers”.
Transparency will increase, volume will remain
Thus, the law actually provides a convenient way to erect the building, bypassing some of the bureaucratic procedures. Registration of country real estate (more precisely, some of its types) is simplified as a result, the transparency of the individual segment construction may increase. However, to increase the volume of input is unlikely.
