Common misconception
"Utilities transfer with the title." They do not.
The deed transfers. The mortgage transfers. The keys change hands. Electricity and gas accounts do not.
Every utility account is in a person's name, not the property's. At closing, the seller's name comes off the deed but stays on the electricity and gas accounts until they (or a state default) close them. The new owner is invisible to the utility until they pick up the phone and open service in their name.
The default failure mode: seller files a closing date 5 days after the home closing "to be safe," buyer assumes the closing attorney handled it, neither calls the utility, the seller's account auto-closes, the meter goes idle, the buyer is charged a $50 to $150 establishment-of-new-service fee on their first bill. The service was never physically interrupted. The fee is for the administrative restart of an account that should never have closed.
The closing-day call
Three things to do, in order
One short call to the delivery utility, ideally a week before closing, settles the entire transfer.
Call the delivery utility 3 to 5 days before closing
Your zip code decides the delivery utility, not your supplier choice. Look it up in the utility directory by state. Most US utilities accept future-dated start requests up to 30 days ahead, so calling early carries zero downside.
Use the closing date as the service-start date
Not the day you take possession physically. Not the day you move the furniture in. The closing date itself is the legal hand-off and is the date the seller is most likely to have used as their close-of-service date. Matching the two dates exactly eliminates the gap.
Confirm in writing
Ask the agent for an email confirmation with your new account number, the service-start date, and the address. Save the email. It is your only evidence if the first bill arrives with an "establishment of new service" line item or if the meter read is disputed later.
Utility behavior
What every US state does at the seller-buyer handoff
Default close windows, reconnection fees and the override call, for the nine biggest US delivery utilities in residential markets.
| Utility behavior | Default seller-close window | Buyer reconnection fee | What you call to override |
|---|---|---|---|
|
Con Edison (electric) NYC + most of Westchester |
2 to 5 days after seller closes | $50 to $100 establishment fee | Call 1-800-752-6633, set start = closing date |
|
National Grid (electric) Upstate NY, MA, RI |
3 to 7 days after seller closes | $25 to $75 reconnection charge | Call 1-800-322-3223, request "buyer takeover" same-day |
|
ComEd (electric) Northern Illinois (Chicago region) |
5 business days post-close default | $78 reconnection per ICC tariff | Call 1-800-334-7661, name the closing date |
|
PECO (electric + gas) Philadelphia + 5 PA counties |
3 business days after seller closes | $70 to $146 service-establishment fee | Call 1-800-494-4000 or use online Move Center |
|
Oncor (TDU only, TX) North + West Texas wires |
Same day if Retail Provider files Move-In transaction | $0 to $150 depending on REP and meter type | Pick REP first, REP files ESI ID transaction with Oncor |
|
PSE&G (electric + gas) Most of New Jersey |
3 to 5 days after seller closes | $0 standard, $30 expedited start | Call 1-800-436-7734, set service-start = closing date |
|
Con Edison Gas NYC + Westchester gas service |
2 to 5 days after seller closes | $50 to $100 + leak test if vacant > 30 days | Call 1-800-752-6633, request leak test on closing day |
|
NICOR Gas Northern Illinois gas service |
5 business days post-close default | $15 to $65 service-initiation charge | Call 1-888-642-6748, name the closing date |
|
CenterPoint Energy Houston gas, Indiana, Minnesota, Ohio service areas |
3 to 7 days after seller closes | $30 to $150 connection fee, varies by state | Call 1-800-227-1376, ask for "homeowner start" SOP |
Notice windows reflect each utility's published "Starting Service" page and residential tariff filed with the state PUC, verified May 2026. The Oncor row covers wires only; in Texas you also need a REP for the supply side.
Failure modes
What goes wrong between seller and buyer
Four real-money mistakes from reader emails, with the precise fix for each.
Seller closed with a forwarding date too far in the future
The seller, trying to be cautious, sets their close-of-service date 7 to 10 days after the home closing. You move in, use electricity for a week, then find the kWh used during that week billed to the seller's closed account. The utility eventually files a back-bill to you. Fix: ask the seller (or closing attorney) for the seller's exact close-of-service date and match yours to it.
Seller closed too soon, meter went idle, "establishment of new service" fee
The seller closes the day before the home closing. The meter goes idle for one day. The utility files an idle-meter flag, and when you open service the next day, the system reads it as a fresh start and charges a service-establishment fee of $50 to $150. Fix: open service in your name with a start date no later than the seller's close date.
Closing attorney filed a transfer that does not match utility records
Some closing attorneys file a notice-of-sale with the utility on the buyer's behalf. If the address on the utility record does not match the deed (apartment number missing, "St." vs "Street", county abbreviation), the transfer fails silently. Fix: call the utility directly and read out the address exactly as it appears on the utility's side. Account number from the seller resolves it instantly.
Meter is in the HOA or building's name in a condo, not transferable
In some condo buildings, the master meter is in the HOA's name and individual unit usage is sub-metered or split as a common charge. You may not be able to open a service account at all. Fix: ask your closing attorney or the building manager who holds the meter before closing, and adjust your budget for the HOA pass-through rather than a separate utility bill.
The homeowner advantage
The deregulated-state supply choice
Default service vs a chosen fixed-rate plan, in the five biggest deregulated markets.
| State (delivery utility) | Default service rate | Chosen fixed-rate plan |
|---|---|---|
| Texas (Oncor) | 15.2 ¢/kWh PoLR ceiling | 11.9 to 13.5 ¢/kWh, 12 mo. |
| Pennsylvania (PECO) | 11.94 ¢/kWh price-to-compare | 9.5 to 11.5 ¢/kWh, 12 mo. |
| Illinois (ComEd) | 9.06 ¢/kWh supply ceiling | 8.2 to 9.8 ¢/kWh, 12 mo. |
| New York (Con Edison) | 14.5 ¢/kWh ESCO benchmark | 12.9 to 15.2 ¢/kWh, 12 mo. |
| New Jersey (PSE&G) | 13.43 ¢/kWh BGS-RSCP | 11.5 to 13.0 ¢/kWh, 12 mo. |
Homeownership is the moment you can lock in a 12 to 24 month plan because a homeowner does not face the same address-change risk as a renter. The early-termination clause that scares most renters away from fixed-rate contracts is, in practice, a non-issue for an owner-occupier who is not planning to sell within the term.
Pick a supplier from the licensed suppliers directory, give the utility your chosen supplier's ID at the account-opening call, and the supply switch lines up with your closing date. Read the bill explainer first so you know which line on the bill the supplier rate actually moves.
On the call
What the utility asks a homeowner for
Four data points to have open in front of you when you dial.
SSN
For the soft credit check that decides whether a deposit is waived.
Closing disclosure
The HUD-1 successor document. Some utilities ask for the closing date listed on it.
Property address
Read it from the deed, not from memory. Apartment numbers, suffixes and county names matter.
Where to mail
If different from the property: snowbirds, second homes, a property manager handling the bill.
Lessons we keep relearning
- Ask the closing attorney for the seller's utility account numbers at least one week before closing; the seller can pull them off any recent bill in 30 seconds.
- If the closing has a smart meter, ask the utility for the final read figure at midnight on closing day so you can verify the seller's last bill and your first bill use the same number.
- If you are buying out-of-state for a second home, request paperless billing at account opening. Your first bill mailed to a vacant property is a free invitation to mail theft.
Insider view
Four details most homeowner moving guides skip
Each one is a real-money pattern from reader emails we keep getting.
Smart meters do not physically reset between seller and buyer
On an AMI meter, the seller's final read and your start read are the same reading. The utility credits the seller's account up to that figure and starts billing you from the same number. The kWh display on the meter itself never zeros out, it keeps counting from where the seller left off. This is normal, not a bug.
In Texas, the TDU owns the wires but a REP must be chosen on day 1
If you do not pick a REP before move-in, the default is the TDU's PoLR at a price ceiling, currently around 15.2 ¢/kWh. PoLR is meant to prevent disconnection, not to be a permanent plan. Pick a competitive REP within 30 days and the back-bill is usually waived on switch.
Solar and net-metering accounts transfer differently
The interconnection agreement is filed in the seller's name, not attached to the property. A separate transfer is required, with the signed bill of sale for the solar system and a new interconnection application. Until the transfer is approved, any export to the grid may be unmetered or credited to the seller's closed account.
Gas in older homes may need a "leak test" if vacancy exceeds 30 days
If the seller closed gas service more than 30 days before the closing, a state-mandated pressure and leak test is required before the line can be re-pressurized. The test must be scheduled several business days in advance and may add $40 to $90 to the start-of-service bill. Ask whether the seller still had active gas service on the closing date to avoid the test.
The playbook
What to actually do, in six steps
From the week before closing to the day you settle in.
Call utility 3 to 5 days before closing
Use the state directory to find the delivery utility. Have the property address, your SSN and the closing date open.
Set service-start date = closing date
Match the utility's start date to the closing date on your settlement statement, not the day you physically move in.
Lock in a fixed-rate supplier if deregulated
Compare on the licensed suppliers directory. Pick a 12 to 24 month plan and give the utility the supplier ID at account opening.
Ask the seller for the meter read at closing
A line in the closing addendum is enough. If smart-meter, get the figure from the utility after closing.
Photograph the meter on closing day
Phone camera, both electric kWh and gas therm displays, timestamped. Your only proof if the figure is disputed later.
File the new address with USPS, IRS, voter registration
Utility opening is the trigger event. The first utility bill is often the first piece of mail confirming the address change.
Before you call
Quick answers for new homeowners
The eight questions buyers ask us most often around closing.
Call 3 to 5 business days before closing, and set the service-start date to the day of closing. Every regulated US utility honors a future-dated start. If you call on closing day itself, most utilities can still open service same-day, but a few (notably ComEd and NICOR Gas) default to a next-business-day start and may charge an expedited-service fee. The 3-to-5-day window also lets you correct any clerical mismatch between the closing attorney's paperwork and the utility's records before move-in.
No, and this is the single most common error new homeowners make. Utility service does NOT transfer with the title. The seller's account closes on a date the seller specifies (or on a state default, typically 2 to 7 days after closing). If you have not opened service in your name by that date, the meter goes idle and the utility charges a $50 to $150 reconnection or "establishment of new service" fee to restart, even though the service was physically continuous. The fee is avoidable in every state by opening service no later than closing day.
In a deregulated state like Texas, Pennsylvania, Illinois or New York, you call both, in order: (1) the supplier (a REP in Texas, an ESCO in NY, an ARES in Illinois) to pick your plan and pricing; (2) the TDU or delivery utility to physically connect service. In Texas, the REP files the move-in transaction with Oncor or CenterPoint on your behalf, so one call covers both. Outside Texas, expect to make two separate calls.
A new-account opening for a homeowner typically requires: your full legal name and date of birth, your Social Security Number (for the soft credit check), the property address, your billing address if different (snowbirds, second homes, mailing in care of a property manager), and the closing date as the service-start date. The utility will often ask for the seller's previous account number, which you can request from your closing attorney before the closing call.
Often, yes. Most US utilities run a soft credit check at account opening. Homeowners with a clean credit file typically pass the threshold and the deposit is waived. Customers with thin or damaged credit may still be asked for a $100 to $300 deposit, refunded with state-PUC interest after roughly 12 months of on-time payment or on the final bill. The threshold is utility-specific and disclosed in writing at account opening.
No, and this is one of the most useful things to know about an AMI meter. The seller's final read and your start read are the same reading, taken remotely by the utility at midnight on the transition date. The meter does not physically reset; the utility simply credits the seller's account up to that figure and starts billing you from the same number. If you want to verify, photograph the kWh and therm displays on closing day for your own records.
Not automatically. The interconnection agreement and the net-metering tariff are filed in the seller's name, not attached to the property. You must file a separate transfer with the utility, which typically requires a copy of the signed bill of sale for the solar system (often included in the home closing) and a new interconnection application. Until the transfer is approved, any solar export may be unmetered or credited to the seller's closed account. File within 30 days of closing to avoid losing credit.
Yes, and homeownership is the moment to do it. As a homeowner you do not face the address-change risk that pushes most renters into month-to-month plans, so a 12 to 24 month fixed-rate contract is genuinely useful. Pick the supplier first (compare on the licensed suppliers directory), give the utility your chosen supplier's ID at the account-opening call, and the supply switch lines up with your closing date. In Texas, the REP handles both calls in one go.