Registering Property in Albania

This topic examines the steps, time, and cost involved in registering property in Albania.

View all indicator data and topic details for this economy.

Change Selection

Property Value: ALL 17,443,495
City: Tirana

	Procedure	Time to complete:	Cost to complete:
*1	The seller obtains an ownership title certificate	10 days (simultaneous with procedures 2 and 3)	950 ALL (500 ALL is the property certificate and 450 is the map)
*2	Verification of property certificate and relevant map at the Real Estate Property Registry	2 days (simultaneous with procedures 1 and 3)	550 ALL (updated record file) + 950 ALL (updated certificate of title with a layout)
*3	Comparison of property map with the real situation and position of the land	1 day (simultaneous with procedures 1 and 2)	50 to 100 ALL per square meter of the land
4	Notarization of the sale and purchase contract by a notary public	1 day	Notarization fees amount to approximately ALL 24,710
5	Payment of income tax at a second-tier bank	1 day	0.5% - 3% of property value
6	Apply for registration at the Real Estate Registry Office	30 days	1,800 ALL (730 ALL registration fee, 950 insurance fee and 120 mailing service fee)

* Takes place simultaneously with another procedure.

Procedure 1.: The seller obtains an ownership title certificate
Time to complete:: 10 days (simultaneous with procedures 2 and 3)
Cost to complete:: 950 ALL (500 ALL is the property certificate and 450 is the map)
Name of Agency:: Real Estate Registry Office
Comment:: The seller files with the relevant Real Estate Registry Office the required documents in order to obtain an updated certificate of title. The Certificate includes the property number, cadastral area, name of owner, surface in square meters, building data (if there are any) and a special section certifying that the property is (not) subject to any dispute, lien, encumbrance, mortgage or lease agreement. The Certificate should be associated with the relevant map of the property.
The ownership title certificate is always in possession of the seller. In order to avoid any possible dispute, a new certificate is strictly required for any kind of property transfer.

Procedure 2.: Verification of property certificate and relevant map at the Real Estate Property Registry
Time to complete:: 2 days (simultaneous with procedures 1 and 3)
Cost to complete:: 550 ALL (updated record file) + 950 ALL (updated certificate of title with a layout)
Name of Agency:: Real Estate Property Registry
Comment:: The buyer verifies the property Certificate and relevant map at the Real Estate Registry. This is done in order to avoid any fraud on the part of the seller, as sometimes happens. Such procedure is not mandatory, but sometimes is considered necessary, especially regarding properties with considerable economic value.

Procedure 3.: Comparison of property map with the real situation and position of the land
Time to complete:: 1 day (simultaneous with procedures 1 and 2)
Cost to complete:: 50 to 100 ALL per square meter of the land
Name of Agency:
Comment:: This procedure prevents the buyer from any dispute with third parties caused from overlapping, borders misfit and land surface. Verification is performed by a private authorized expert (topographer) at the buyer's expense. Such procedure is not mandatory, but sometimes is considered necessary especially regarding properties with considerable economic value. The fee is between 50 – 100 ALL per square meter of land.

Procedure 4.

Notarization of the sale and purchase contract by a notary public

Time to complete:

1 day

Cost to complete:

The fees applied are calculated according to the following schedule:

Value of real estate property

Notary fees

From 100,000ALL up to 3,000,000 ALL

Name of Agency:

Comment:

Procedure 5.: Payment of income tax at a second-tier bank
Time to complete:: 1 day
Cost to complete:: 0.5% - 3% of property value, according to the following scale by Order of the Ministry of Finance No. 5, dated January 30, 2006: for properties the sale price of which is: from 0 up to ALL 2,000,000, the income tax is 0.5% of the sale price; over ALL 2,0
Name of Agency:
Comment:: The seller is subject to the income tax due the transfer of the title of ownership on the real estate property. Such tax is paid at a second-tier bank in the territory of the Republic of Albania, with whom the relevant Real Estate Registry Office maintains a banking account, and the seller obtains a receipt of payment of income tax.
The alienation of a real estate property from a legal entity to another one is also subject to capital gains tax, at a rate of 20% of the transaction value.

Procedure 6.: Apply for registration at the Real Estate Registry Office
Time to complete:: 30 days
Cost to complete:: 1,800 ALL (730 ALL registration fee, 950 insurance fee and 120 mailing service fee)
Name of Agency:: Real Estate Registry Office
Comment:: The buyer submits the original version of the sale and purchase contract and the bank receipt for payment of income tax to the relevant Real Estate Registry Office for the registration of the real estate property under the buyer's name.
The Tirana Real Estate Registry handles the registration of the real estate properties mainly by means of a computerized system.