Inspection of the land register – no loan without inspection.



 This is the permission to take a look at a land register. In contrast to other registers, inspection of the land register is restricted by law.

The reason for the restriction are registered assets and obligations. The legally regulated restrictions leave room for interpretation.  Banks may inspect the land register or receive an extract for credit transactions.

Definition of inspection of the land register

Definition of inspection of the land register

The definition of the inspection of the land register is the permission that enables people to inspect a special land register and the land files contained therein.

In general, unrestricted access to public registers as well as their entries or deletions (e.g. registers of associations, trade, cooperatives, property rights or partnerships) by interested persons is legally permissible.

It is a bit different when inspecting the Gundbuch, since sensitive data is noted there:

  • Assets (property ownership)
  • Debt relationships (mortgages, land charges, security land charges)
  • Housing rights (e.g. of parents or siblings)

Anyone who may request access on the basis of a legitimate interest is regulated in paragraph 12 and paragraph 12c of the Land Register Regulation (GBO). Under certain conditions (public interest), press employees can also request access to fulfill their journalistic mandate.

Inspection of the land register and how it is regulated

Inspection of the land register and how it is regulated

In contrast to other, public registers, the inspection of the land register can become problematic, since an inspection would reveal information about financial circumstances (land) or debt relationships (security land charges, land charges, mortgages).

In order to protect the personal rights of the person entered in the land register, such access has been restricted by law. Only with demonstrable legitimate interest is it permitted to request inspection of the land register.

This is usually used by the following groups of people:

  • Tenant
  • Owner of adjacent properties
  • Creditors with an enforceable claim
  • Lender
  • Inherit

However, despite its necessity, the restriction was only processed superficially by the legal requirements. Access to the land register today is largely at the discretion of the land registry. The very laxly formulated legal provisions also give the courts a lot of leeway in the application or interpretation of the legal regulations.

  • Very broad regulations are advantageous and can also be disadvantageous. In any case, they guarantee that the judges have sufficient discretion in each individual case (e.g. in the event of a dispute).

Inspection of the land register as a prerequisite for real estate loans

Inspection of the land register as a prerequisite for real estate loans

People who are planning a building project or buying a property usually need a building loan or mortgage loan. The lenders (banks, insurance companies) want to secure the loan amount and expect to have access to the land register before concluding a loan contract.

Based on the information noted there, lenders can find out whether a piece of land or property actually belongs to the borrower, whether land charges or mortgages already exist, or whether there are other important agreements that could stand in the way of a building loan (e.g. B. Right of residence of parents).

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