Ontario Tax Sale Property Forum
Sheriff Sales / Foreclosures => General Discussion => Topic started by: raylak on October 23, 2016, 09:31:47 PM
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So I won a tax sale after almost a year of bidding and title was settled. After all, I get a water bill from the municipality for the previous owners usage. I was under the impression that the account is all wiped out and we start fresh? Not true? Any input is greatly appreciated.
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So I won a tax sale after almost a year of bidding and title was settled. After all, I get a water bill from the municipality for the previous owners usage. I was under the impression that the account is all wiped out and we start fresh? Not true? Any input is greatly appreciated.
Raylak:
Congratulations on your win; but you are not the first and you won't be the last tax sale winner to face this problem of carryover billing from utilities appearing after the fact. Actually the worst offenders appear to be condo association fees
My first response to your question is what significance of claim are we talking about.
I mean a one month usage bill is a lot different then a 6 month bill and if it is small and the only liability sometimes it is better to pay it and write it off. Sometimes utilities being monopolies throw their weight around even when it maybe legally questionable.
This issue comes up more often in landlord and tenant where a tenant is responsible for paying the utility bill but landlords have been backbilled even though there have been court cases that have made the landlord not liable.
The other activity I would do is go up a level and talk to management and see if they will listen. They may not.
A couple of policies may help as background: one from the UK
http://www.landlords.org.uk/news-campaigns/news/expert-advice-gas-and-electricity-management-your-rental-property
One from the city of Ottawa
http://ottawa.ca/en/billing-options-tenants
bottom line in a regular real estate deal your lawyer should protect you. In tax sales one of the risks of the business and why you should
have contingency funds.
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So I won a tax sale after almost a year of bidding and title was settled. After all, I get a water bill from the municipality for the previous owners usage. I was under the impression that the account is all wiped out and we start fresh? Not true? Any input is greatly appreciated.
Be thankful it wasnt a grow op. They make the landlords and new owners pay for stolen electricity. Tens of thousands despite the hydro being in the tenants name
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Thanks for the resources! I took your advise and I was able to convince the tax collector to drop this bill after my polite argument that tax bill should be the last and final of what k should pay. To my surprise they agreed and dropped it. Woohu! Yes and I am super thrilled it was not a grow op. That would have taken me down big time. The water bill was $1300. Thank you so much guys!!!!