Some owners of rental homes prefer to retain ownership of the electric service. The main reason: to avoid having to make 2 ownership changes, but in reality maintaining the service in your name can be costly, as you will see below.
What professionals recommend is that the holder of the electricity contract is the person who lives in the house. Beyond our recommendation, if you own a house you should know that it is a legal right of the tenant that their services are in their name. At the end of the day, he or she will be the one to assume their payment, or doesn’t that seem right to you?
The logical exception will be for tourist rentals, in which said services will be in the name of the owner because they are normally included in the rent.
Now, let’s get to the point: in this article you will find information on how and when to change the light contract.
How to carry out the change of ownership in the electricity contract?
To change the ownership of an electricity contract, the future new owner must contact their distributor, whether part of a free or regulated market. It can be done by phone, online or in person, and can be requested as many times as necessary.
If you are a client of Geräh Real Estate Partners and need help to change the ownership of your home, we will do it for you free of charge, so that you can enjoy your time. If you want to do it yourself keep reading.
To make changes, the corresponding company will ask the client for a series of documents that must be provided on a mandatory basis:
Precise documentation for the modifications of the ownership of the light:
- CUPS Code
- Name, surnames, ID of the current owner.
- Name, surnames, ID of the current owner.
- Exact address of the supply point.
- Bank direct debit.
- Power of current contracted light.
It is important to add that changing the name of the contract is not the same as changing only the direct debit, an option that many homeowners use, in our opinion in a risky way.
Changing the account number is usually done at the rental house to make it easier for the tenant to pay the bills directly, but this is different from changing the owner.
When does the change of owner become effective?
It takes 15 to 20 business days for the name change of the energy contract to take effect, although this period may vary from one marketer to another. This is because it is necessary to conclude the execution period of the invoice to carry out certain modifications.
After changing the ownership of the service, the customer can receive a final receipt to finalize the pending payment.
How much does management entail?
Changing the contract name is a completely free process. However, when changing the owner, other procedures can be carried out that may incur related costs:
● Additional Services:
Although the change of ownership, as we have already mentioned, has no cost, however, in some cases, the distribution company can take advantage of this situation to inspect electrical installations, which means consulting electrical bulletins.
The CIE or electrical bulletins is a mandatory document for all properties, whether it is a new house or a second-hand house. It is used to verify that the electrical installation is in good condition and meets all technical requirements. Like other inspections, it is an important system to ensure that the electrical installation does not pose any danger. Updating it normally has a price that ranges between 70 euros and 300 euros and must be updated every 20 years. To find out the status of your newsletter, users can contact the distributor in their area.
On the other hand, when managing changes of ownership, if we also want to modify the light power of the house, we must bear in mind that it entails additional costs. Therefore, before making any changes, it is recommended to calculate the necessary electrical power. The cost of increasing it is usually around 55 euros for each additional kilowatt (kW), and if what we want is to reduce the cost of said procedure, it is around 18 euros.
Why make the change of ownership?
The energy supply must always be in the name of the holder and this person is responsible, especially if there is any mishap with domestic electricity or natural gas.
How does it affect tenants and owners?
From the perspective of the tenant of the house, you can negotiate with the company and choose the price that suits you best, in the case of leaving the house, you can cancel the service as necessary.
For the owner of the property, this is a way to protect himself from debts (pending payments, etc.) that may arise from the supply of supplies, because they always belong to the owner of the endowment contract.
When to make the change of ownership?
Normally once the Lease Agreement enters into force. The usual thing is to check the gas and electricity meters (the electricity meters are not always available to see them) and make the change. It is also possible to do it at any time.
Until the next entry!