When you purchase property or land is critical to obtain outright ownership in order to feel secure about your new asset. To complete the process for transferring land titles of ownership, there are particular steps that need to be followed, documents that need to be obtained as well as consultations with relevant agencies.
This week, in Part One we will explore the first four necessary steps for transferring land titles of ownership in Cambodia. This will give clear instructions, information regarding the responsible government agencies , and the estimated time to complete the steps thanks to Realestate.com.kh.
Step 1: Verify the title certificate with the relevant Land Office
The buyer will first need to verify the land title certificate with the Land Office at the Ministry of Land Management, Urban Planning and Construction (MLMUPC), to check for any debts or other claims to the property. This process requires:
● The buyer obtaining the initial title certificate from the seller to verify their genuine ownership.
● The buyer will then verify the title certificate with the Land Office at the MLMUPC
● The Land Office will inform the buyer if there are any liens (debts), mortgages or other claims registered to that property
Relevant Government Agency: Land Office at MLMUPC
Estimated time to complete this step: This takes approximately 10 days (should occur simultaneously to steps 2 and 3)
Step 2: Obtain information on the property:
The buyer must then obtain information on the property from the relevant Commune Council Official. This involves the buyer contacting the village chief or the Commune Council Official in which the property is located, to obtain information about the land. In addition to this an official search of the title should take place at the Khan/District Land Office.
Relevant Government Agency: Commune Council (Relevant District/Khan office in your property’s area)
Estimated time to complete the step: This should take approximately 10 days (should occur simultaneously with steps 1 and 3)
Step 3: Obtain the certificate of incorporation and official documents from the seller:
If the landowner is a legal entity, the buyer must obtain;
● A copy of the ID of the shareholder, or person acting on behalf of the company,
● A certified/notarized copy of the Certificate of Incorporation of the seller’s company as issued by the Ministry of Commerce.
● Any other official documents from the seller relating to the company and the transaction.
All of these documents are needed to verify the accuracy and identity of the company name appearing on the title certificate.Further documents needed to verify the seller’s authorisation to transfer the property to the buyer are;
● A power of attorney
● A Resolution signed by the Board of Directors from that company authorizing the named individual (seller) to represent the company at the Land Office (MLMUPC)
● A power of attorney specifically stating that the seller can bring into effect that Resolution to transfer land titles of ownership to the buyer.
Relevant Government Agency: Ministry of Commerce
Estimated time to complete the step: This process should take around 10 days (should occur simultaneously to steps 1 and 2)
Step 4: Apply for registration at the District Land Office (MLMUPC)
When the buyer and seller, whether they are as an individual or a company wish to complete the property transaction, they must go together to the District Land Office at the MLMUPC to arrange to prepare and sign the relevant documents.
The documentation needed for this step is
● The Company’s statute,
● The Company’s Certificate of Incorporation (obtained at Step 3)
● Both of the Power of Attorney documents (obtained in Step 3).
The original Title Certificate held by the seller must be presented to the District Land Office at the time of signing the deed, in order to have the name of the new owner officially inserted on the document.
Relevant Government Agency: District Land Office, MLMUPC (District Land Office of the Ministry of Land Management, Urban Planning & Construction)
Estimated time to complete the step: This step takes between 20 and 30 days.
Although there may seem to be a body of paperwork to initiate the process for transferring land titles of ownership, as a buyer, having a legitimate title to your prospective land or property enables you security and legally sound transaction. Stay tuned for Part 2 next week, where we will delve further into the remaining steps of the process and take a comprehensive look into transfer tax.
Looking to invest in land as a foreginer? Read our sneak preview extract from our Realestate.com.kh Cambodia Real Estate Investment Guide 2018 in Issue 5 of our Cambodia Real Estate Magazine from page 42- just click below!
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