Flats with no service charge – pros and cons

Buying a flat with no service charge (mieszkanie bezczynszowe) may seem an attractive option, as it lets you save a little. It is not, however, a solution without drawbacks. In today's article you will learn what to expect when deciding to buy a flat with no service charge.

A flat with no service charge, as the name itself suggests, is one for which no service charge (czynsz) is payable, that is, no fixed monthly fee to the housing cooperative or the building's management. It is a solution that lets you save quite a lot of money, but it also involves certain limitations.

No service charge does not mean no costs

When deciding to buy a flat with no service charge, we must remember that it does not come free of costs. Here, too, we will have to pay for electricity, gas, water and refuse collection. A downside of having no regular service charge is the need to pay for the renovation of the common areas. A one-off sum of this kind can put a considerable strain on our finances.

Unlike in traditional blocks of flats, there is no such thing as a repair fund in buildings with no service charge, which means that money for renovation work is collected as and when needed.

Looking after the common parts of the building

Another downside of flats with no service charge is the need to look after the common parts of the building, such as the staircases and the greenery around the block, and to clear snow in winter. The duty to carry out this work rests with the residents, unless they decide to hire a specialist company that will take over these duties. For that to happen, however, the residents should decide on it unanimously and pay together for such services. This is not always possible, and some residents do sometimes break ranks. In that case all that remains is to draw up a rota under which each resident takes turns cleaning the common areas.

Buying a flat with no service charge – what should you consider?

If you are planning to buy a flat with no service charge, take a good look at the building you have chosen. Its condition will tell you more about the situation there than you think. Above all, it is worth assessing the cleanliness of the staircases and other common areas. If this leaves a lot to be desired, it may indicate that there are some conflicts between the neighbours or that they do not take care of the building, which does not bode well either. It is also worth paying attention to the technical condition of the property. Rely on the help of experts in this field, who will assess the condition of the wiring, plumbing and heating. Such a survey is especially worth commissioning if we plan to live in an older block of flats or tenement building.

Before deciding to buy a flat with no service charge, it is also worth getting to know the neighbours better. The first impression will tell us whether they are accommodating people and whether it will be easy to come to an agreement with them on matters that concern all residents.

The situation is different when we decide to buy a flat with no service charge on the primary market. Such buildings are most often inhabited by people who made this choice consciously and are aware of their responsibility for the common parts of the building. Moreover, developers of new buildings often give a warranty that covers free repairs to the building for as long as it is valid.