March 03, 2025

Title deed and possession deed – differences and similarities

The title deed is a part of the land register folio that is kept for each parcel in the cadastral municipality. It contains information about the ownership of the property and other real rights in it. The regulation governing the keeping of land registers and land register folios is the Land Registry Act.

A possession deed is a document that is kept in the cadastre and contains information about the possesor. It also contains details of the property and its description. The cadastre is kept by the State Geodetic Administration on the basis of the Law on State Survey and Real Estate Cadastre.

Types of sheets and their content

The title deed (sheet B of the land register folio) includes:

  • information about the owner of the property,
  • co-ownership shares,
  • notes related to ownership.

The possession sheet in the cadastre includes:

  • And the information of the Prophet (peace be upon him)
  • cadastral parcel number,
  • area and manner of use of the plot,
  • information about the objects built.

Registration in the title deed has a constitutive effect for the acquisition of real rights, while entry in the possession deed has a declaratory character.

Restrictions and Enrollment Process

Registration in the title deed may be limited by existing encumbrances or rights of third parties. The procedure of registration in the land register is carried out on the basis of a party’s proposal with a document suitable for registration. This can be a purchase contract with a tabular statement, concluded with the currently registered land register owner.

Registration in the possession sheet in the cadastre is made ex officio or at the request of a party, with the obligatory attachment of an excerpt from the land register.

Liability for debts and legal effects

Registration in the title deed creates a presumption of ownership and enables the disposal of the property. The owner is responsible for debts related to the property.

Entry in the possession deed does not create a presumption of ownership, but only records the factual state of possession. The owner is not necessarily liable for debts related to the property, unless he is also the owner of the property.

Significance of Registration and Consequences

Registration in the title deed in the land register has a constitutive effect for the acquisition of real rights to real estate. A person becomes the owner of the real estate at the time of registration in the land register. That is why the title deed plays a key role in ensuring the greatest legal certainty in real estate transactions.

Entry in the possession sheet in the cadastre has primarily a record-keeping character. It does not prove ownership, but only who is the current owner of the property. So, in certain situations, a non-owner or current tenant of the property can be registered in the cadastre.

Different entries in these two registers can lead to legal uncertainty. In the event of disagreement, the situation in the land register takes precedence.

Registration procedure

For registration in the title deed in the land register, i.e. registration of the right of ownership of real estate, it is necessary to submit a proposal to the competent land registry court, attaching:

  • documents eligible for registration, public (court decision) or private documents (e.g. contract) on which:
    • The authenticity of the signature of the book predecessor (the current owner of the property registered in the title deed) is certified,
    • there is an exact designation of the land or right in respect of which registration is requested,
    • is an explicit statement by the person whose right is restricted, encumbered, cancelled or transferred to another person to agree to the registration, i.e. tabular statement. This declaration may also be made in a separate document, but in such cases the document must contain everything required for registration,
  • a power of attorney or a power of attorney to another person on which the authenticity of the signature must be certified,
  • proof of the court fee paid.

In order to be registered in the possession sheet in the cadastre, it is necessary to submit an application to the competent cadastral office, attaching:

  • documents on the acquisition of possession,
  • Land Register Extract
  • geodetic study (if necessary),
  • proof of the administrative fee paid.

In conclusion, although both documents contain information about real estate, the title deed has a significantly greater legal force and significance in the legal transaction of real estate. In case of discrepancies, it is necessary to hire a legal expert and a surveyor in order to establish the actual land registry status and harmonize the cadastre and land register.

If you need legal aid or a lawyer, please contact us at:

info@odvjetnik-bistrovic.hr

Want to make an appointment?