Accrued Utility Service Charge Before Turn on

Accrued Utility Service Charge Before Turn on

Member since 2022 · 9 posts · 3 votes

Hi Bigger Pockets Fam,

I paid cash for a home March 2024 that was uninhabitable and am just now getting around to rehabbing the property. During this time I did not have any utilities turned on, and when I called to have the water turned on today, I was told there was a charge of close to $500 as a service fee going back to when I purchased the home in March 2024. When I asked why I was paying for a service fee during a period where I never turned on service, the customer service person explained that even if I didn't have service turned on, and there was no usage, there is a monthly fee for the line that runs from the street to my house so that when I reconnect, they don't have to rip up the ground and put in a new line.

To me this sounded ridiculous and the power and gas companies are not charging any such fees. I have never had a home where I've waiting this long to turn utilities on, wondering if this is the norm?

Thanks!

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  • Real Estate Agent · Cleveland, OH · Member since 2025 · 60 posts · 54 votes
    1y

    Did they have to come out and install a meter? And is this in Cleveland proper? If they had to install a meter to turn the water back on you'll get a missing meter charge of $300, but nothing else. You don't pay for water if it's not on, but you do pay for sewer no matter what. 

    • Member since 2022 · 9 posts · 3 votes
      1y
      Quote from @Sofia Komrskova:

      Did they have to come out and install a meter? And is this in Cleveland proper? If they had to install a meter to turn the water back on you'll get a missing meter charge of $300, but nothing else. You don't pay for water if it's not on, but you do pay for sewer no matter what. 


      Hi Sofia, thanks for the quick reply! They did not install a new meter and it is in Cleveland proper, but maybe this is the sewer charge, hopefully when the bill comes it will be clear if that's the case.

    • Real Estate Agent · Cleveland, OH · Member since 2025 · 60 posts · 54 votes
      1y
      Quote from @Andrew Boston:
      Quote from @Sofia Komrskova:

      Did they have to come out and install a meter? And is this in Cleveland proper? If they had to install a meter to turn the water back on you'll get a missing meter charge of $300, but nothing else. You don't pay for water if it's not on, but you do pay for sewer no matter what. 


      Hi Sofia, thanks for the quick reply! They did not install a new meter and it is in Cleveland proper, but maybe this is the sewer charge, hopefully when the bill comes it will be clear if that's the case.


       Okay yeah its probably an estimated sewer bill based on historical usage. It will get adjusted on the next billing statement as a credit against your balance once you turn it on in your name (You still have to pay around $14-20 per month for sewer whether utilities are on or not). If you want to DM me a copy of the bill when you get it I can confirm. I'm a General contractor here so I see this happen all the time with vacants that sit =) 

  • Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 31k+ posts · 20k+ votes
    1y
    Quote from @Andrew Boston:

    Hi Bigger Pockets Fam,

    I paid cash for a home March 2024 that was uninhabitable and am just now getting around to rehabbing the property. During this time I did not have any utilities turned on, and when I called to have the water turned on today, I was told there was a charge of close to $500 as a service fee going back to when I purchased the home in March 2024. When I asked why I was paying for a service fee during a period where I never turned on service, the customer service person explained that even if I didn't have service turned on, and there was no usage, there is a monthly fee for the line that runs from the street to my house so that when I reconnect, they don't have to rip up the ground and put in a new line.

    To me this sounded ridiculous and the power and gas companies are not charging any such fees. I have never had a home where I've waiting this long to turn utilities on, wondering if this is the norm?

    Thanks!


     Call again and I imagine you'll get a different story as to why they are charging you. That's how it goes with the Cleveland water department. Ask 5 employees the same question and you'll get 5 different answers.

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