Shareholders in housing cooperatives: Features of the housing cooperative agreement. How can shareholders protect themselves?

Today in our country there are people who are dissatisfied with their living conditions. There are not very many such citizens, but a decent number are scattered throughout the country.

Naturally, these people want to improve the conditions in which they live. For this purpose, they unite into communities or housing construction cooperatives. In the article we will talk about the concepts and types of housing cooperatives.

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Housing cooperative - what is it?

Today, the concept of housing cooperatives is clearly spelled out in the Housing Code of the Russian Federation, namely in Article 110. Such associations are created by people themselves or legal entities of their own free will in order to pool their financial resources. This is usually done in order to engage in construction, major repairs or maintenance of the house in the future.

Thus, the cooperative is designed to satisfy the human need for living space. He can also manage residential and non-residential areas in a building type.

The housing cooperatives themselves also act as legal entities and are required to undergo the established registration procedure in accordance with Article 114 of the Housing Code of the Russian Federation.

Having understood what it is, we move on to legal issues.

Legal status of a housing construction cooperative

As mentioned above, Article 110 of the Housing Code of the Russian Federation clearly states that the housing cooperative is a voluntary association of Russian citizens or legal entities. Members of such a community have a clear goal of meeting the needs of people who need living space. Also manage the MKD.

If we recall the current legislation that regulates urban planning activities, we can be convinced that such communities always act as developers and take upon themselves the responsibility to ensure the proper construction or complete renovation of a house that is located on a plot of land owned by a housing cooperative.

If you want to join such a cooperative, you must first read Article 111 of the RF Housing Code . It says that:

People who have reached the age of 16 can become members of such an association.
Legal entities can also get here, although not always. The law clearly states the cases when this becomes possible.
Legal entities can easily get into a cooperative if they are the owners of housing located in a house owned by the association.

Zhsk Commercial Or Non-Profit Organization

Consumer cooperative

is a voluntary association of citizens based on share contributions in order to satisfy material and other needs. The income of consumer cooperatives from business activities is distributed among its members.

Limited partnership

is a partnership in which, along with general partners, there are one or more participant-investors (limited partners), who bear the risk of loss only within the limits of the amounts of contributions made by them and do not take part in the entrepreneurial activities of this partnership.
Limited partners receive a portion of the partnership's profits due to their share in the joint capital. 25 Jan 2020 etolaw 641
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Organizational and legal form

When creating an association, you should pay attention to Article 112 of the RF Housing Code. It states that the decision to create a housing cooperative must be made by a group of founders. These people must agree to join the cooperative and then vote on its creation. All these citizens become members of the newly formed community when it completely passes the state registration procedure.

The legal status of housing cooperatives is regulated not only by the Housing Code and the Civil Code of the Russian Federation, but also by a special charter. Many judges, in general, believe that the main powers to carry out the activities of such a community and solve organizational problems belong to it. This happens because the legislation gives the right to the founders of the cooperative to introduce their own laws in the association they created. For such a document there is even a special article 116 in the Civil Code of the Russian Federation and article 112 in the Housing Code of the Russian Federation, which require the following to be written in it:

A clear name for the association, and the word cooperative must be present in it.
The exact address where this community can be found.
What the association does and what goals it sets for itself.
The procedure for joining should be followed by a person who wants to become a member of the cooperative.
Amounts of entrance and share fees.
A precise description of how the above contributions are to be made and where.
How can you leave the cooperative and receive a share contribution and other payments due in this case.
The degree of responsibility that will necessarily fall on the shoulders of a person who has violated the obligation to make share-type contributions.
The composition of the management of the cooperative and the level of its competence , and the same for the bodies that monitor the activities of the community.
In what order are various decisions made, including in matters where the verdict is made unanimously or by an overwhelming majority of votes?
The procedure by which cooperative members compensate for losses incurred in the course of their activities.
The procedure in which, if necessary, the cooperative will be reorganized or liquidated. It is possible to transform a housing cooperative only into a homeowners' association, as ordered by Article 122 of the Housing Code of the Russian Federation.
Other provisions that will not contradict those prescribed by law.

Types of housing cooperatives and distinctive features

The Housing Code provides for two types of cooperatives of this type: housing cooperatives and housing cooperatives. Each has its own characteristics.

As has been repeatedly stated above, the housing cooperative sets itself the goal of providing living space for all its members and achieving this directly depends on the degree of share participation of each . This community will exist exactly until the house is completely completed and put into operation.

Further, it can continue to exist only in the form of a partnership, which will control and carry out all activities of a housing and communal nature. To organize something like this, you do not need authorized capital. Moreover, a member of such a cooperative does not at all undertake to take direct part in its activities and build the building on his own.

The total amount of the so-called share contribution depends on the needs of the community. They are determined by estimates for construction materials, construction labor costs, and other expenses. Overpayments for housing are minimized due to the absence of borrowed interest. Thus, overpayments relate only to ensuring the proper functioning of the cooperative during construction work.

A housing-savings cooperative is a relatively new phenomenon. There are no construction-type risks here, since the scheme provides for the purchase of ready-made residential space. When joining such a community, a one-time entry fee is required. Next, the participant is charged a monthly share fee.

After the membership fee has been paid, the amount that remains is provided to the WNC participant in the form of a kind of loan at a small interest rate of 2 to 6% per annum. The activities of such a community are never hidden from the people who are its members. Thus, a person in such a community always has the right to choose.

Various schemes that imply the dark side of money circulation do not work here under any pretext. This cooperative can choose almost any property for itself. It is impossible to liquidate such an association, even if only one person is its member.

Differences between housing cooperatives and other forms of management of apartment buildings

Each form of management has its own positive and negative sides, as well as features. For example:

A housing cooperative and a housing construction cooperative are almost the same thing. . Entry rules, management structure, membership fees, etc. completely identical to housing cooperatives. The only difference is that such a cooperative is created not when the house is under construction, but when it has already been built and needs to be put in order. This community is called upon to carry out management functions, and thus improve the living conditions of the citizens who live in this apartment building.
How does a housing cooperative differ from a homeowners' association? The HOA, unlike the housing cooperative, also does not engage in the construction of apartment buildings; its scope of activity is similar to the residential complex . Typically, such a community is formed by home owners, which can be apartments or private houses on neighboring plots (see how to buy an apartment in a housing cooperative). It is organized for the purpose of joint management or conducting coordinated economic activities in an apartment building or on land owned by members of the partnership. As part of this, the exploitation of common property, the construction of additional buildings or objects that will act as common property for all people in the HOA can be carried out. Common property or its objects can be rented out if the meeting decides so.

And the differences from DDU are described in detail here. Now you can decide for yourself which is better.

More details about the duties of the chairman are written in another article.

Non-profit organizations

A feature of the estimate is the strict limitation of the items of expenditure of a non-profit organization and their coordination with the financial capabilities of the participants of the non-profit organization and donors. A feature of estimated financing is the expenditure of funds in strict accordance with the intended purpose of expenses and their limits established at the stage of distribution of available resources. Thus, the estimate is the main planning document for financing the expenses of a non-profit organization by its owner, participants or donors due to the peculiarity of its place and role in the socio-economic life of the state, since its activities are aimed at providing free public goods of a social nature. Unlike other financial plans drawn up in the form of a balance of income and expenses, the estimate reflects the one-sided nature of financial relations with external sources of financing, expressed in the expenditure of funds received.

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Determining the amount of general business expenses is based on the principles of financing, as are the expenses for individual programs and projects. In the absence of income from business activities, the amount of general business expenses cannot exceed 20% of the total cost of the targeted programs and projects being implemented . Based on the given funding limit, the planned value for each item of general business expenses is determined. If a non-profit organization has income from business activities, then the profit , based on the provisions of the law “On Non-Profit Organizations”, is a targeted source of financing . Therefore, when determining the financial result, a non-profit organization is obliged to pay income tax, and then use the remaining net profit as a source of covering expenses related to the goals of its activities. No more than 20% of net profit can be used to finance business expenses from net profit if the non-profit organization carries out any social programs or projects, or in the amount determined by the supreme governing body (meeting of participants, board of trustees, etc.). Thus, the procedure for planning current expenses is similar to the procedure for determining expenses for ongoing programs or projects: first, the permissible amount of current general business expenses (financing limit) is determined, and then the amount of each item of these expenses is determined. The level of detail of expense items is also determined by the organization itself.

The concept of housing cooperatives and the scope of activity

The sphere of competence of housing cooperatives includes:

concluding agreements with contractors for the construction of an apartment building in order to provide housing for cooperative members , further maintenance and repair of the constructed building and common property;
maintaining premises owned by housing cooperatives in a condition that satisfies fire, sanitary and technical standards , insuring them against possible risks and accidents;
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leasing premises of an apartment building for offices and commercial firms;
providing various services to apartment owners and tenants of premises , including issuing certificates, putting things in order, carrying out routine repairs, representing the interests of owners in court, etc.;
determining the share of owners and issuing them the corresponding receipts for payment of utilities, as well as collecting fees from tenants for the use of premises;
monitoring compliance with contractual obligations by cooperative members, contractors, tenants of residential premises and filing claims in case of failure to fulfill the clauses of the contracts they have concluded;
formation of a house management with entrusting it with the right to manage finances and conduct audits of the activities of housing cooperatives at established intervals;
resolution of emerging issues at a general meeting of members of the housing cooperative , the representative of which is the elected board of the cooperative, headed by the chairman.

This organization of homeowners belongs to consumer cooperatives and has the status of a legal entity (Article 110 of the Housing Code of the Russian Federation, Chapter 4 of the Civil Code of the Russian Federation).

Legal aspects of the functioning of a housing construction cooperative

Housing cooperatives are created by citizens on a voluntary basis; the ultimate goal of their formation is to provide participants with housing. The construction of real estate is carried out with funds contributed by members of the organization. Citizens have the right to register ownership of an apartment after full payment of all contributions to the housing cooperative (we talked about the grounds for the emergence of ownership of an apartment in the housing cooperative and the procedure for its registration here).

Participation in the cooperative is allowed for citizens over 16 years of age and legal entities with a total number of five and a maximum equal to the number of apartments in the building under construction. The decision to create an organization of homeowners is made at a general meeting of participants using a voting system with mandatory recording of the results in the minutes. Read more about who makes the decision to organize a housing cooperative and how its registration takes place here.

The position of housing cooperatives in the legal sphere is determined by the Housing Code of the Russian Federation and the Civil Code of the Russian Federation , as well as by the Charter of the cooperative, which has primary significance in the judicial proceedings of disputes arising between the participants of the cooperative, its board and third-party organizations.

Members of the housing cooperative bear full responsibility and fulfill the obligations assigned to them in accordance with the signed agreements (read about what an agreement with a housing cooperative is and how it is drawn up here, and in this article we talked about what it means to purchase an apartment under an agreement with a housing cooperative and whether it will work out apply for a mortgage). Losses arising during the construction of the house must be covered within three months by making additional contributions, otherwise the cooperative will be liquidated by court decision.

All aspects of the agreement on participation in the housing cooperative

The sphere of shared-equity construction is practically unknown to the average citizen. Therefore, you need to know some concepts so as not to join the ranks of defrauded shareholders. Thus, an agreement on shared participation in construction or DDU differs from an agreement on participation in a housing cooperative (share contribution, co-investment of a housing cooperative). It is important to understand whether it is beneficial for the developer to create and join a housing cooperative, and also how this can turn out for a shareholder when purchasing housing when he becomes a member of the housing cooperative.

1. The agreement, which was concluded in accordance with Federal Law No. 214 “On participation...” is an investment agreement. The document obliges the construction company to publish important information, including the project declaration. This provision provides the shareholder with information about the developer and the specific project. According to Federal Law No. 214, the contract must indicate the following data:

about the developer and his right to build a house;
a detailed description of the apartment, which includes information about the total and living area, layout, decoration, equipment, and application to the floor plan;
conditions for changing construction deadlines;
refund procedure, etc.

Federal law provides for serious fines against the developer for failure to complete the project on time. Rosreestr registers the share participation agreement, so the risk of two sales of the apartment is excluded.

The agreement between the housing cooperative and the shareholder is an agreement with a different focus. It defines the relations of both parties in the housing cooperative, which relate to co-investment of the project and share contributions. This agreement is regulated by Federal Law No. 215 and does not need to be registered with Rosreestr. In essence, this is an internal document between the members of the housing cooperative, and the cooperative itself is a simple organization of shareholders.

If the buyer becomes a shareholder in a cooperative, then membership relations in the housing cooperative are regulated only by the Charter of the housing cooperative and the norms of the Housing Code of the Russian Federation on the cooperative organization. The shareholder is responsible for the activities of the cooperative organization : all decisions are made at a meeting of shareholders of the housing cooperative. Therefore, a shareholder can make claims only to the meeting of shareholders or to himself.

2. A housing cooperative is the only form of organization that is authorized (Article 110 of the Housing Code of the Russian Federation) to require members to pay, in addition to the cost of the property, that is, a share contribution, additional funds for various purposes, for example, the completion of a house. In addition, when joining a housing cooperative, shareholders make entrance, membership, target and other fees. These funds remain forever in the co-operative treasury and are not returned even if a person leaves the organization. Only the share contribution for the construction or purchase of real estate is refundable.

3. If, in accordance with Federal Law 214, a citizen signs an equity participation agreement with a developer, then additional agreements may be attached to it. They separately indicate the construction time of an apartment building, its cost, the name of the property and penalties. If additional relations arise with the housing cooperative, then the shareholder signs another title document to the agreement on participation in the housing cooperative. The Charter of the cooperative organization must contain provisions that differ from the provisions of the DDU agreements with the construction organization. These relations are not regulated by the law on consumer protection.

4. If a person enters into a preliminary agreement for the purchase and sale of a share in a housing cooperative , then he must understand that the preliminary agreement specifies the period for concluding the main agreement. Therefore, it is possible to force the other party to conclude the main purchase and sale agreement only in court, in accordance with clause 4 of Art. 445 Civil Code of the Russian Federation. Also, the preliminary agreement has legal obligations for both parties if all the requirements of the Civil Code of the Russian Federation for this legal structure are met. The absence of the terms of the main agreement in the preliminary agreement makes the latter unconcluded or invalid.

5. The Law “On the Protection of Consumer Rights” acts on the side of buyers if the developer violates the law, but cannot be used to regulate relations between a member of the cooperative and the organization itself. The order of the Ministry of the Russian Federation for Antimonopoly Policy and Support of Entrepreneurship of the Russian Federation “On some issues related to the application of the Law of the Russian Federation “On the Protection of Consumer Rights” establishes cases when the law is not used. These are cases of protection of consumer rights in civil relations between individuals and organizations (public associations, partnerships, housing construction, dacha construction cooperatives, etc.).

6. If the developer fulfills its obligations under the DDU in bad faith, then the shareholder, in accordance with 214-FZ, has the right to terminate the share participation agreement and demand a refund of funds, as well as losses. Moreover, the amount of these payments must be equal to the value of the increased price of real estate (apartment) and the penalty. Otherwise, a citizen has the right to file a claim with a judicial authority without using the claim procedure for resolving a dispute.

7. The situation is different with shareholders who have entered into agreements with housing cooperatives. They do not have the legal right to put forward demands for termination of the agreement on participation in the housing cooperative and payment back of the share contribution. This is possible only after the person has left the housing cooperative. Only in this case the former shareholder has the right to file a claim in court for the return of the share. It should be taken into account that Article 132 of the Housing Code of the Russian Federation determines the period for payment of the amount of this contribution - no more than 2 months from the date the cooperative decides to exclude the shareholder from the housing cooperative. But even in this case, you sometimes have to wait for years to get your money back, despite the fact that you have a writ of execution in your hands. A condition for receiving a share contribution may be the availability of available funds from the housing cooperative, which are sufficient to repay the specified debt to the shareholder.

8. Federal Law No. 214-FZ provides for the procedure for attracting funds from citizens through a cooperative for the purchase of residential premises. Therefore, Article 14.28 of the Code of Administrative Offenses of the Russian Federation defines penalties for the unlawful attraction and use of funds. A fine is imposed in the amount of 500 thousand to 1 million rubles, but these sanctions cannot be applied to the activities of housing cooperatives. Citizens also cannot make claims for the use of other people's funds, according to Art. 395 of the Civil Code of the Russian Federation.

Buyers of apartments, being part of a housing cooperative, unlike shareholders, do not have the right to demand any funds through the court:

· for reimbursement of expenses,
· penalties and compensation for moral damage in case of delay in completion of construction or “freezing” of the house.

The shareholder can only hope to receive the amount of the share contribution; the return of membership and entrance fees upon leaving the housing cooperative is impossible.

9. Even if the share contribution is returned and the house is not put into operation, it is impossible to assign the right of claim (assignment) with the transfer of debt. Reason: a member of a housing cooperative does not have the right to demand the transfer of an apartment, just as there is no right to recognize ownership of a share in an object, even if it is unfinished. In accordance with paragraph 4 of Art. 218 of the Civil Code of the Russian Federation, the right of ownership of a shareholder of a housing cooperative to residential premises arises only upon membership in the organization , full payment of the share contribution and commissioning of the facility. Therefore, agreements for the assignment of share contributions cannot be legal, and therefore are legally unfounded. A transaction concluded between a shareholder and a person wishing to purchase a share is considered imaginary, made for show, and has no legal consequences.

10. According to Art. 121 of the Housing Code of the Russian Federation, in order to become a member of the housing cooperative, several conditions must be met: 1) Submit an application for admission to membership of the cooperative, 2) Receive a decision on admission to membership of the cooperative by general voting at a meeting of members of the organization, 3) Pay the entrance fee. If at least one of the conditions is not met or there are no documents on membership, then there can be no talk of membership in the housing cooperative. This provision also applies in cases where the share contribution has been made, but the agreement with the housing cooperative has not been concluded. Such legal relations are not valid.

11. As a rule, it is impossible to verify the financial and economic activities of a cooperative. The reason lies in the specifics of the internal work of the organization: the housing cooperative, as a legal entity, maintains accounting records, but does not make a profit as such. Activities “according to estimates” involve the formation of a revenue part from various types of contributions: entrance, membership, shares and expenses aimed at building a house, as well as current costs. Shares and other contributions that are paid in accordance with the provisions defined by the charter, other additional shares for expenses according to the construction estimate, are reflected using account 86 “Targeted financing”.

12. Article 218 of the Civil Code of the Russian Federation determines when ownership of residential real estate arises. In the case of concluding a DDU, they are guided by clause 1 of this article, but in the case of concluding an agreement on participation in a housing cooperative, they are using clause 4 . A participant in shared construction who has entered into a contractual agreement only needs to receive a transfer and acceptance certificate to register ownership. In this case, he must have the following documents on hand:

DDU,
payment documents,
certificate of no claims.

Note. In relation to a housing construction cooperative, in addition to the act of acceptance and transfer of housing, you should also obtain a certificate of full payment of the share in the housing cooperative. This document is the title document for the apartment. Check that the certificate contains information about membership in the housing cooperative:

Full name.
Date of joining the cooperative.
Details of the minutes of the general meeting of members of the cooperative organization on the admission of shareholders of the housing cooperative as members.
Information about the amount and date of full payment of the share contribution.
Description of the property for which the share was paid: address, apartment number, area of the apartment, including living space for which the share was paid.
Signature, surname and initials of the chairman (secretary, other person).
7. Cooperative seal imprint.

If the HOA does not issue a certificate, then go to court with a claim to establish the legal fact of the emergence of ownership of real estate (Articles 264-266 of the Code of Civil Procedure of the Russian Federation).

Documents for registering an agreement with a housing construction cooperative in Rosregistration:

Agreement on participation in housing cooperatives.
Document of acceptance and transfer from housing cooperatives (2 originals + copy).
Receipt for payment of share.
Certificate of full payment of share contributions (full settlement) to the housing cooperative.
Cadastral passport for the apartment.
A document confirming membership in the housing cooperative.
Application endorsed by the signature of the Chairman of the Board of Housing Cooperatives.

If you have firmly decided to become a member of the housing cooperative, then you need to make sure that you really are a shareholder. Along with the housing cooperative agreement, a financial document confirming the payment of the contribution and a certificate stating that the cooperative organization has no claims against you for payment, request other documents:

Housing cooperative charter,
building permit,
project declaration,
certificate of ownership (lease) of the land on which the house is being built,
data on the inclusion of a housing construction cooperative in the register of cooperative organizations (ZhNK),
the procedure for obtaining living space and additional cash payments in the form of contributions,
a receipt confirming receipt of an application for membership in the housing cooperative with a note on your acceptance as a member of the cooperative on a copy of this application or a certified extract from the decision of the general meeting of members of the organization.

Organizational form

A housing construction cooperative is voluntarily created by citizens to satisfy their material and other needs with the help of share contributions, which classifies it as a consumer cooperative organization under the Civil Code of the Russian Federation.

Housing cooperative is a non-profit enterprise; making a profit is not the main activity, but can be carried out legally in the process of work. The cooperative has the right to lease residential premises belonging to it to third parties. Funds received in this way are divided among shareholders.

The rights and obligations of the housing cooperative must be described in detail in the main constituent document - the Charter of the cooperative (Resolution No. 558, approving the standard Charter of the housing cooperative). Read about the functions of the Housing Cooperative Charter and the rules for its preparation here.

Consumer cooperative as a non-profit organization

The constituent document of a consumer cooperative is its charter, approved by the general meeting of members of the cooperative. The charter must contain the information specified in paragraph 2 of Art. 52 and paragraph 2 of Art. 116 of the Code. The inclusion of this information in the charter is mandatory for all consumer cooperatives. The commented article does not say that other information may be included in the charter. However, this does not mean that the charter cannot include information necessary for the organization and activities of a consumer cooperative of the corresponding type.

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According to Article 116 of the Civil Code of the Russian Federation, a consumer cooperative is a legal entity based on a voluntary association of citizens and (or) legal entities on the basis of membership in order to satisfy the material and other needs of the participants, carried out by combining property share contributions by its members. A consumer cooperative is recognized as a non-profit organization. Members of a consumer cooperative jointly and severally bear subsidiary (i.e., additional, in addition to what they contributed) liability within the limits of the unpaid portion of the additional contribution of each member of the cooperative. The last part of this article states that the legal status of consumer cooperatives, as well as the rights and obligations of their members, are determined in accordance with this code and the relevant laws on certain types of consumer cooperatives.

Legislative acts regulating work

Chapter 11 of the Housing Code of the Russian Federation considers issues related to the organization and further functioning of the cooperative , namely:

the reason for creation and planned activities;
the procedure for registration, convening a general meeting of members, election of the board and chairman;
requirements for management and members of housing cooperatives;
the purpose of creating the audit commission and the responsibilities assigned to it;
sequence of reorganization and liquidation.

The Civil Code of the Russian Federation in Chapter 4, paragraph 6, paragraph 2, establishes the existence of housing cooperatives as a consumer cooperative.

Decree of the Government of the Russian Federation N 558 approves the standard Charter of the housing cooperative and the information required to be reflected in it:

name of the organization and place of territorial location;
goals of creation and tasks performed;
rules for obtaining membership and leaving the housing cooperative;
the amount and frequency of making share contributions (more information about the procedure for making share contributions and the need to obtain a certificate of their payment can be found here);
the procedure for electing the leadership of the cooperative and the functions it performs (read about what is the highest management body of the housing cooperative here, and in this material we talked about the responsibilities of the chairman of the cooperative, about concluding an employment contract with him and about solving possible problems);
holding meetings of participants, voting to make decisions and monitoring their implementation;
actions of participants in the event of reorganization and liquidation of housing cooperatives.

What is a consumer cooperative and its features

The regulatory framework in Russia related to consumer cooperation is represented primarily by the Civil Code of the Russian Federation, which gives a general definition of a consumer cooperative, and also reveals the main provisions regarding such a legal association and outlines some of the responsibilities of its members.

issues of creating a consumer cooperative;
features of membership in such an organization;
structure of the consumer cooperative, including management bodies;
composition of the company's property;
nuances of the work of consumer cooperatives, including issues of reorganization, liquidation and unionization.

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Difference from other non-profit associations for managing apartment buildings

Housing cooperative (LC). The procedure for organizing, obtaining membership by citizens and making share contributions are identical to those in the housing cooperative. It differs from housing cooperatives in that there is no stage of building a house.

They purchase housing in a constructed building, invest money to pay for the purchase of an apartment, bring the apartment building into a condition suitable for living and further maintain private and common property in accordance with fire, sanitary and other standards (Article 110 of the Housing Code of the Russian Federation).

Homeowners' Association (HOA). Created by citizens who already own apartments for joint management of common property. An HOA can unite residents of both one house and several nearby buildings to restore order in the subordinate territory and construct objects that are subsequently rented out.

The organization of an owners' association becomes possible with the participation of more than half of the apartment owners. Decisions are made at a general meeting of members, and the legal basis for activities is the Charter of the HOA (Article 135 of the Housing Code of the Russian Federation).

Equity Participation Agreement (EPA). Despite the similarity in the principle of uniting people in need of housing, preschool and housing cooperatives have significant differences :

mandatory registration of the DDU agreement, which excludes the appearance of several owners of the apartment;
the cost of square meters that does not change during the construction process and a fixed completion date for construction with shared participation;
the possibility of moving into an apartment for shareholders only after full payment of all contributions;
full refund of the amount of money and payment of a penalty upon termination of the contract, full access to information before signing the documents.

Membership in the housing cooperative has a number of advantages for citizens who want to participate in the purchase of housing, starting from the construction stage. Before signing the documents, you should take into account all the nuances of the activities of housing cooperatives and other associations of owners, choosing which option is better. More information about the pros and cons of housing cooperatives and possible risks when purchasing an apartment in a new building under a housing cooperative agreement can be found here.