Frequently asked questions about land registers in Bosnia and Herzegovina

Question: How is the right of ownership acquired in Bosnia and Herzegovina?
Lawyer: The purchase agreement does not automatically provides the right of ownership over the real estate in Bosnia and Herzegovina. It is necessary to register your right in the land register. Therefore, it is necessary that after each purchase of your property, you submit your proposals for registration in the land register, and after the property tax is paid. Submit the proposal to the land registry office of the Municipal Court in Bosnia and Herzegovina in whose territory the real estate that is the subject of the sale is located. Upon registration, the buyer becomes also the land registry owner.

Question: What is the difference between the ownership deed and possession deed in Bosnia and Herzegovina?
Lawyer: The ownership deed is issued by the land registry, and the possession deed is issued by the cadastre. The possession deed does not prove the ownership or any other right over the real estate, and on the basis of it the land registry of the competent court does not allow the registration of the real estate in the land registry. It is important to take this circumstance into account when buying real estate and being presented documents by the seller.

Question: How is entry performed in the land registers in Bosnia and Herzegovina?
Lawyer: For registration in the land register as well as in the Book of Deposited Contracts it is necessary to enclose: - Request for registration. – Evidence documentation on which the request is based, that is, the basis for acquiring the substantial right that is necessary when it comes to registering a change of ownership. –Proof that the court fee was paid. –The decision of the tax administration on the assessment of real estate transfer tax when registering buildings, it is necessary to enclose a construction and use permit. When registering residential and business buildings in the Book of Deposited Contracts, it is necessary to enclose PS form. Therefore, this approval must be an integral part of the evidence, whether the consent is part of the contract or is subsequently submitted in the form prescribed by law.

Question: What needs to be done before buying real estate in Bosnia and Herzegovina?
Lawyer: You need to determine the land registry status, that is, whether the property for which the transfer of ownership is proposed and the owner of the property are registered in the land books. Therefore, it is necessary for the party (buyer) to contact the land registry, knowing the number of the cadastral parcel, and request a land registry excerpt, which contains all the information about a particular property as they are registered in the land registry. From the land excerpt it is possible to see who the owner of the real estate is, whether the real estate has one or more owners, whether it is encumbered with a mortgage or some other encumbrance. Insight into the condition of a certain real estate, i.e. obtaining a land registry excerpt is provided to all persons after the payment of the fee. The land registry excerpt is the only proof of ownership of your real estate or some other right that may be the subject of entry in the land registry in Bosnia and Herzegovina. Excerpts from the land register have the status and probative value of public documents.

Question: What is the first step when buying real estate in BiH?
Lawyer: Before buying or selling a property, checking the land registry excerpt should be the first step. It is important for buyers to know if the property has a certain encumbrance, what is the area of the flat, whether the owner is one person or more of them, etc. On the other hand, the seller should be available to ensure transparency and insight into the land registry excerpt. It is important that the buyer is familiar with the existing condition of the property in order to know what the conditions of sale and its characteristics are. Knowing for example the co-owner’s ownership ratio can be important in the buying and selling process, e.g. if there are two property owners, it is important that both owners agree to the sale. Both must be present at the signing of the sales contract and give their written consent or provide a notarized power of attorney for the sale of the real estate. The land registry excerpt is the starting point of every purchase and sale of real estate and the only proof of its ownership.

Question: What is the goal of land registry reform in Bosnia and Herzegovina?
Lawyer: The goal of land registry reform in BiH is to create an efficient land administration system and encourage the development of a more efficient real estate market. The reform implies harmonization of data in the cadastre and land registry, computerization of the land registry, implementation of both systems and improvement of relations with users. The goal of implementing this reform is simpler and faster realization of individual registration of ownership in the land registry offices of Municipal Courts –land registries, and standardization of forms in the land registry procedure. When submitting individual proposals for entry, the parties will receive precise instructions for filling in the forms properly, which will also speed up the process of achieving individual entries.

Question: What is the content of the land excerpt in Bosnia and Herzegovina?
Lawyer: The land registry excerpt in Bosnia and Herzegovina consists of three parts:
1. Sheet A – possession deed or inventory sheet in which the real estate is registered, that is, its main features – cadastral number, name, area, number of floors, level of construction, etc.
2. Sheet B – ownership deed in which the owner of the real estate is registered. Restrictions to which the owner is subject to the free management or disposal of the land registry body or co-ownership ratio may also be entered in that sheet.
3. Sheet C – encumbrance sheet from which it is evident whether the real estate is encumbered by the rights of third parties, e.g. mortgage, right of first refusal, lease or rent, buy off, concession, and whether there is enforcement or sealing.