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Land Register (Land Title / Land Registry Office / Deed Registry) « Law Office Practice Area

In Bosnia and Herzegovina (B&H), real-estate transactions are closely linked to land registries – public registers in which rights to real estates are recorded. This article explains, in plain language, what land registries are, what the purpose and importance of registering ownership is in B&H, and briefly describes the procedure for registration title and deletion of rights. We also present the services provided by the Prnjavorac Law Firm, which is specialized in this area.

What are the Land Registers / Registries?

The Land Register is the official register of real rights to real estate (e.g., ownership, mortgage, etc.), provided for by law. In the legal system of Bosnia and Herzegovina, the maintaining of land registers is entrusted to municipal courts (e.g., for Sarajevo, the Municipal Court in Sarajevo) – at each municipal court there is a Land Registry Office (Land Title– Bosnian: gruntovnica) with territorial jurisdiction over properties in that municipality/city. Land registers are public and accessible; anyone can request an insight or a land registry extract/certificate (title deed – Bosnian: vlasnički list) for a specific property.

It is important to distinguish the land title office (land registry) from the cadaster. A title deed is issued by the Land Title Office and is proof of legal ownership, while a property register (Bosnian: posjedovni list – also: proprietary certificate; cadastral certificate) is issued by the cadastre and serves as a record of ownership. The cadastral certificate does not prove ownership or any other right, and based on it, the court will not permit the entry of a change of ownership in the land register. That is why it is mandatory to check the land title when buying real estate – only the data from the land register guarantees who a legal owner is and whether there are encumbrances (e.g. mortgage) on a real estate.

Purpose and importance of registration in the land registries

Registration of rights in the land register is not a mere formality – it is a condition for your ownership to be legally recognized and protected. According to the current regulations, the right of ownership of real estate is acquired exclusively by registration/entry in the land register. Without registration, a buyer has only de facto ownership without full legal protection. Land registers are public registers open to all, so that buyers, investors or banks can check the status of each property before the transaction.

Advantages of proper registration are numerous:

  • Legal security: By registering in the land register, the owner obtains full legal protection of his right. The law expressly stipulates that ownership is acquired by registration, so registration entry prevents double sales, fraud or disputes over whose property it is.

 

  • Ability to dispose of real estate: Without land registry entry, it is not possible to validly sell real estate or encumber it with a mortgage. Banks, for example, will not approve a mortgage loan if the property is not registered and properly recorded.

 

  • Easier inheritance: Registered properties enter directly into the estate / probate mass and are more easily transferred to heirs. If a property is not registered, the heirs will have to additionally prove the right of ownership through court proceedings, which slows down and makes inheritance more expensive.

 

  • Principle of Reliance: The rules in Bosnia and Herzegovina recognize the principle of reliance/trust in land registers – if a buyer in good faith buys real estate from a person who is registered as the owner in the land register, the law protects that buyer, even if the seller was not actually the actual owner. In other words, registration protects the owner: what is recorded (written) in the books is considered the "real" state, and unregistered rights will not be recognized in legal transactions.

Basics of Registration and Deletion of Rights in the Land Register

Registration (ownership registration – uknjižba) is initiated by filing a motion to a competent land registry office of a municipal court on which territory a real estate is located. Before that, a real estate transfer/sales tax must be paid, after which the necessary documentation is attached to the motion. As a rule, the following must be provided for the registration:

  • A duly completed application for registration (motion) on the prescribed form;

 

  • A document evidencing the legal basis for acquiring the right (e.g., a notarized sale–purchase agreement or a final court decision);

 

  • A tax administration office’s decision on tax apportionment for a real estate transfer (proof that the tax has been paid);

 

  • Proof of payment of the court fee for registration/registry entry;

 

  • A prior owner’s consent to transfer the right (usually contained in the agreement itself, via a seller’s notarized statement).

The court then reviews the motion and evidence and, by decision, permits registration if the statutory requirements are met. Only once the registration decision becomes final, a new owner is then entered as the registered (land-registry) owner of a real estate – making the right visible to everyone and it is protected under the principle of public reliance.

Deletion of a right from the Land Register is the reverse process – removing an already registered right when it ceases or is transferred to another person. The most common example is deleting a mortgage after a loan is paid off: a bank issues a deletion authorization (statement on release of mortgage – brisovnica), authorizing deletion of its mortgage. On the basis of that instrument (and any additional evidence, such as a final court decision), the owner files a motion with the court for deletion of the entry. For deletion of a mortgage, for example, you must submit the application, the bank’s deletion authorization (if the mortgage was registered on the basis of an agreement), and proof of payment of the court fee. After the court approves deletion by decision, the right is permanently removed from the Land Register. Similarly, when ownership of the property changes, entry of the new owner automatically results in deletion of the previous owner’s entry in the registry.

Land Registry Attorney Services

The Prnjavorac Law Office provides expert legal assistance and representation in all matters regarding Land Register proceedings. Our services include:

  • Consultation and documentation verification / review: Legal verification of ownership documents before buying or selling real estate, verification of land registry status (ownership and encumbrance) and advising clients on how to protect their rights.

 

  • Registration/entry of real estate in the land registry: Preparation and submission of motions for the registration of land, houses, apartments, business premises and other facilities, including registration/entry of court decisions and judgments on real estate rights.

 

  • Changes and transfers of rights: Registration/entry of changes of ownership based on sale–purchase agreements or other legal grounds (gift, inheritance), entry and deletion of mortgages, pre-notations (predbilježbe) and notations (zabilježbe) of rights, as well as other changes in the Land Register.

 

  • Obtaining land-registry documentation: Drafting and obtaining the Land Register extracts (title deeds), copies from the Collection of Deeds (zbirka isprava), and other documents from the Land Registry Office, for use as proof of ownership or for other legal purposes.

 

  • Representation before courts (Land Registry Offices): Comprehensive representation before competent Municipal Courts throughout Bosnia and Herzegovina in all land-registry proceedings – from filing motions for registration or deletion of rights to lodging appeals and seeking rectification of errors in the Land Register.

Our experienced land-registry attorney ensures that every registration or deletion of rights is carried out correctly and on time, protecting clients’ best interests in full compliance with B&H legal regulations.

How is ownership right acquired in Bosnia and Herzegovina?

The right of ownership of real estate in Bosnia and Herzegovina is not automatically acquired through a purchase-sales contract. It is necessary to register your right in the land register. Therefore, you need to submit your proposals/motions for registration in the land register after each purchase of your real estate, and after the real estate tax has been paid. You submit the proposal to a land registry office of a Municipal Court in Bosnia and Herzegovina in which territory the real estate that is the subject of sale is located. Upon made registration, a buyer becomes the land registry owner.

What is the difference between a title deed and a proprietary certificate/cadastral certificate in Bosnia and Herzegovina?

A title deed is issued by a land-records office (gruntovnica), and a proprietary certificate is issued by a cadastre. A proprietary certificate does not prove ownership or any other right over a real estate, and based on it, a land registry office of a competent court does not allow the real estate to be entered in the land register. It is important to take this circumstance into account when buying real estate and presenting documents by a seller.

How is registration in the land registers in Bosnia and Herzegovina done?

For registration/entry in the land register as well as the BDC (Book of Deposited Contracts – Bosnian KPU – Knjiga položenih ugovora), it is necessary to submit:

  • Application for registration.
  • Evidential documentation on which the request is based, i.e. the basis for acquiring a real right, which is necessary when it comes to registering a change of ownership.
  • Evidence that the court fee has been paid.
  • Tax administration Decision on the apportionment of tax on real estate transactions; when registering buildings/facilities, it is necessary to attach a construction and use permit. When registering residential and commercial buildings in the BDC, it is necessary to attach the Data on a residential/commercial unit form (PS obrazac)

Entry in the land register is allowed only with the consent of the person who, at the time of submitting the application, was entered in the land register as the holder of ownership rights or some other real right that is transferred. Therefore, this approval must be an integral part of the evidentiary documentation, whether the approval is part of the contract or is subsequently submitted in the legally prescribed form.

What should be done before buying real estate in Bosnia and Herzegovina?

You need to determine the state of the land registry, i.e. whether the property for which the transfer of ownership is proposed and the owner of the property are registered in the land registry. Therefore, it is necessary for the party (buyer) to contact the title register office, knowing the number of the cadastral lot (katastarska čestica), and request a land register extract/folio (zemljišno-knjižni izvadak), which contains all the data about the specific property as they are entered in the land register. It is able to have an insight who owns the real estate, whether the real estate has one or more owners, whether it is encumbered with a mortgage or any other encumbrance. Insight into the condition of a certain real estate, i.e. obtaining a land registry folio extract is available to all persons after payment of the fee. The land registry folio is the only proof of ownership of your real estate or any other right that can be the subject of registration in the land registry in Bosnia and Herzegovina. Extracts/folios from the land register have the status and evidentiary force of public documents.

What is the first step when buying real estate in Bosnia and Herzegovina?

Before buying or selling real estate, checking the Land Registry extract should be the first step. It is important for buyers to know whether a property has a certain encumbrance, what the area of an apartment is, whether the owner is one person or more, etc. On the other hand, sellers should be available to ensure transparency and insight into the Land Registry folio. It is important that a buyer is familiar with a current state of a property in order to know the conditions of sale and its characteristics. For example, knowledge of the ratio of ownership of co-owners can be significant during the buying and selling process. For example, if there are two owners of a property, 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 property. The land registry folio is the starting point of every purchase and sale of real estate and the only proof of ownership.

What is the goal of land registry reform in Bosnia and Herzegovina?

The aim of the reform of land registers in B&H is to create an efficient system of land administration and achieve the development of a more effective real estate market. The reform implies harmonization of data in the cadastre and land register, informatization of the land register, implementation of both systems and improvement of relations with users. The goal of implementing this reform is to make it simpler and faster to realize individual registrations of ownership in the land registry offices of the Municipal Courts-land registers, and to standardize the forms in the land registry procedure. When submitting individual proposals for an entry, the parties will also receive precise instructions for properly filling out the forms, which will also speed up the process of accomplishing individual entries.

What is the content of the land registry extract/folio in Bosnia and Herzegovina?

The land registry folio in Bosnia and Herzegovina consists of three parts:

  • Sheet A – property register (posjedovnica) or property sheet in which the real estate is entered, i.e. its main characteristics – cadastral number, name, area, number of floors, construction, etc.
  • Sheet B – title deed in which the owner of the property is entered. Restrictions to which the owner is subject in terms of free management or disposal of the land registry body or co-owned part may also be stated in that sheet.
  • Sheet C – encumbrance sheet showing whether a real estate is encumbered with the rights of third parties. For example, mortgage, rights of first refusal (parvo prvokupa), lease or rental, redemption, concession, and whether there is a foreclosure or seal.

 

*Disclaimer: Attorney-at-law Alma Prnjavorac & Attorney at law Azur Prnjavorac, provides the information in this web site for informational purposes only. The information does not constitute legal advice.

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