Information given for determination of aid allocation:
In the world of German property law, the Auflassungsvormerkung, or entry of transfer, plays a significant role in securing a buyer's rights during the interim period between contract signing and the official ownership transfer. This provisional registration in the land register serves as a protective legal mechanism, ensuring the buyer’s claim against third parties and preventing the seller from disposing of the property to others.
After the purchase contract is signed and notarized, the notary applies to the land registry to enter the Auflassungsvormerkung in favor of the buyer as the future owner. This entry binds the property and records the buyer’s interest, thus preventing other impairments or sales of the property.
The Auflassungsvormerkung makes it impossible for the seller to sell the property to another interested party, even if they offer more money. It also protects the buyer from the seller using the land as collateral in the meantime. The entry of transfer in the land register is crucial for the buyer to obtain financing and for banks to grant mortgages or land charges associated with the property.
The typical duration for the registration reservation is 1-2 months. However, on the buyer's side, the duration depends on how quickly they secure financing. The final transfer of ownership (legal title) happens later when the notary requests the registration of the buyer as the official owner in the land register, usually after payment confirmation and the issuance of the tax clearance certificate.
The entry of transfer is regulated in § 883 of the Civil Code (Bürgerliches Gesetzbuch). It is important to note that legal disputes regarding the deletion of the registration reservation from the land registry are common. The exact cost for a registration reservation depends on the specific land registry entry fee.
After an entry of transfer, renting or leasing is still legally possible. The cost of a registration reservation is half of a regular land registry entry fee, regulated by the fee order. The registration reservation is carried out by a notary. Lastly, the entry of transfer makes it practically impossible to mortgage the property, but it remains valid even if the seller goes bankrupt, such as in the case of a property developer.
In summary, the Auflassungsvormerkung ensures legal certainty and priority of the buyer’s ownership claim in the land register during the interim period between contract signing and the official ownership transfer. It is a crucial step in the property buying process in Germany.
[1] For a more detailed understanding, consult a legal professional or the relevant sections of the Bürgerliches Gesetzbuch.
Read also:
- Deepwater Horizon Oil Spill: BP Faces Record-Breaking Settlement - Dubbed 'Largest Environmental Fine Ever Imposed'
- Lawsuit of Phenomenal Magnitude: FIFA under threat due to Diarra's verdict, accused of player injustice
- Expansion of railway systems, implementation of catenary systems, and combating fires: SNCF adapting to the summer heatwave
- Citizen Thekla Walker, Minister, advises: "Let's focus on our own homes first"
