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Ease of Doing Business in

Finland

Finland Download Profile (1711.5KB, pdf)
Region OECD high income
Income Category High income
Population 5,482,013
GNI Per Capita (US$) 46,360
City covered Helsinki

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 13 12 down
1
80.84 80.85 down
0.01
Starting a Business 28 26 down
2
93.13 93.11 up
0.02
Dealing with Construction Permits 40 36 down
4
75.72 75.82 down
0.10
Getting Electricity 18 16 down
2
88.97 88.97
-
Registering Property 20 19 down
1
82.94 82.94
-
Getting Credit 44 42 down
2
65.00 65.00
-
Protecting Minority Investors 70 69 down
1
56.67 56.67
-
Paying Taxes 13 12 down
1
90.23 90.31 down
0.08
Trading across Borders 33 33
-
92.44 92.44
-
Enforcing Contracts 30 29 down
1
69.40 69.40
-
Resolving Insolvency 1 1
-
93.89 93.81 up
0.08

DB 2017 Rank:

20

DB 2016 Rank:

19

Change in Rank:

down1

DB 2017 DTF (% points):

82.94

DB 2016 DTF (% points):

82.94

Change in DTF (% points):

0.00

STANDARD PROPERTY TRANSFER
Property value EUR 1,900,881
City Helsinki
Indicator Finland OECD high income
Procedures (number) info_outline 3 4.7
Time (days) info_outline 32 22.4
Cost (% of property value) info_outline 4 4.2
Quality of the land administration index (0-30) info_outline 27 22.7
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    The seller and buyer notarize the deed of sale with an attesting notary or prepare the agreement through E-Conveyancing

    Agency: Attesting notary / purchasing witness or online through e-conveyance system

    The sale agreement can be prepared by the seller or the buyer, no involvement of a lawyer or real estate agent is required by law. In general the seller present an extract from the Land Registry and extracts from the Title and Mortgage Registries demonstrating ownership and any registered encumbrances, but these are not formally required.


    The agreement must be in writing and contain at a minimum the following information (according to the Code of Real Estate 540/1995, as amended): name of the seller and buyer, the object of purchase (including real estate number), the purchase price or equivalent compensation and possible subsequent conditions. The agreement must also contain the purpose of transfer.


    The sale agreement shall be signed both by the seller and buyer, in the presence of the attesting notary. The attesting notary checks the ID of the seller and buyer and verifies the formal validity of the sales agreement. Failure to follow these requirements will result in the transaction being automatically null and void. Note that an attesting notary is required only when ownership (freehold title) of the real estate is assigned. When the right of tenancy (leasehold) or other right to possess the property is assigned, the presence of the attesting notary is not required. The attesting notary must inform National Land Survey of Finland of the transaction and the buyer must apply for the registration of its title at their offices (see Procedure 3).


    In November 2013 National Land Survey Finland introduced the E-Conveyancing system. When seller and buyer use the new E-Conveyancing system, no notary is needed to conduct the transaction which can be done online. Both parties must have a strong authentication in order to log in the system. As of April 2015, most transactions are still conducted following the traditional process.

    1 day 120 (55 € when using the E-conveyance)
    2

    The buyer pays the transfer tax

    Agency: Local Bank, Tax Authority or online

    Transfer tax shall be paid to the Finnish Tax Administration within six months of the date of the transfer/purchase agreement and can be paid through a local bank or using online banking services based on a tax form provided by the Finnish Tax Administration. Transfer tax cannot, however, be paid directly at the offices of the Finnish Tax Administration. The receipt of payment of the transfer tax must also be appended to the application for registration of title to the property (see Procedure 3 below).

    1 day 4% of the property value
    3

    The buyer applies for title registration with National Land Survey of Finland

    Agency: National Land Survey of Finland

    The buyer shall register its title to the property in question with the Title and Mortgage Register within 6 months of the date of the purchase agreement. The application for registration of title shall be submitted to the office of the National Land Survey of Finland dealing with registration matters in Helsinki or Vaasa or by email to kirjaamisasiat@maanmittauslaitos.fi. The National Land Survey of Finland reviews the preconditions for transfer of title and provided that they are met and the transfer tax has been paid (see Procedure 2 above), registers title to the property in question in the buyer's name. Provided that the parties are using the e-conveyancing system, the application for registration of title will automatically be filed simultaneously with the signing of the purchase agreement.


    The application for registration of title shall include: (i) Evidence of payment of the purchase price if such payment is a precondition for transfer of ownership; (ii) Evidence of payment of transfer tax (as described under Procedure 2 above); (iii) minutes of the board meeting of each of the seller and buyer resolving on the respective sale and purchase of the property. The registration fee can be paid at a bank or online based on an invoice sent by the National Land Survey of Finland post registration.


    In the event that the property in question exceeds 5,000 m2 in size (or in the cities of Helsinki, Espoo, Kauniainen or Vantaa, exceeds 3,000 m2 in size), under the Pre-Emption Act (608/1977, as amended), the municipality may have a pre-emption right in respect of the property. If the municipality decides to use its pre-emption right, it shall notify the buyer, seller and the National Land Survey of Finland of its decision to do so within three months of the original sale transaction. The owner of the property may, however, request that the municipality confirm in advance that the right of pre-emption will not be used. The buyer's title to the property may only be registered after the three-month deadline unless the municipality gives advance notice that it will not use the pre-emption right. Based on the case study assumptions, the pre-emption right will not be triggered by the transaction.

    30 days EUR 111 (registration fee)

  • Measure of quality
    Answer Score
    Quality of the land administration index (0-30) 27.0
    Reliability of infrastructure index (0-8) 8.0
    What is the institution in charge of immovable property registration? National Land Survey of Finland
    In what format are the majority of title or deed records kept in the largest business city—in a paper format or in a computerized format (scanned or fully digital)? Computer/Fully digital 2.0
    Is there an electronic database for checking for encumbrances (liens, mortgages, restrictions and the like)? Yes 1.0
    In what format are the majority of maps of land plots kept in the largest business city—in a paper format or in a computerized format (scanned or fully digital)? Computer/Fully digital 2.0
    Is there an electronic database for recording boundaries, checking plans and providing cadastral information (geographic information system)? Yes 1.0
    Is the information recorded by the immovable property registration agency and the cadastral or mapping agency kept in a single database, in different but linked databases or in separate databases? Single database 1.0
    Do the immovable property registration agency and cadastral or mapping agency use the same identification number for properties? Yes 1.0
    Transparency of information index (0–6) 3.0
    Who is able to obtain information on land ownership at the agency in charge of immovable property registration in the largest business city? Anyone who pays the official fee 1.0
    Is the list of documents that are required to complete any type of property transaction made publicly available–and if so, how? Yes, online 0.5
    Link for online access: http://www.maanmittauslaitos.fi/en/node/12515
    Is the applicable fee schedule for any property transaction at the agency in charge of immovable property registration in the largest business city made publicly available–and if so, how? Yes, online 0.5
    Link for online access: www.maanmittauslaitos.fi/en/hinnasto
    Does the agency in charge of immovable property registration commit to delivering a legally binding document that proves property ownership within a specific time frame–and if so, how does it communicate the service standard? No 0.0
    Link for online access:
    Is there a specific and separate mechanism for filing complaints about a problem that occurred at the agency in charge of immovable property registration? No 0.0
    Are there publicly available official statistics tracking the number of transactions at the immovable property registration agency? No 0.0
    Number of property transfers in the largest business city in 2015:
    Who is able to consult maps of land plots in the largest business city? Anyone who pays the official fee 0.5
    Is the applicable fee schedule for accessing maps of land plots made publicly available—and if so, how? Yes, online 0.5
    Link for online access: No fees for electronic maps publicly available from www.kansalaisen.karttap...
    Does the cadastral or mapping agency commit to delivering an updated map within a specific time frame—and if so, how does it communicate the service standard? No 0.0
    Link for online access:
    Is there a specific and separate mechanism for filing complaints about a problem that occurred at the cadastral or mapping agency? No 0.0
    Geographic coverage index (0–8) 8.0
    Are all privately held land plots in the economy formally registered at the immovable property registry? Yes 2.0
    Are all privately held land plots in the largest business city formally registered at the immovable property registry? Yes 2.0
    Are all privately held land plots in the economy mapped? Yes 2.0
    Are all privately held land plots in the largest business city mapped? Yes 2.0
    Land dispute resolution index (0–8) 8.0
    Does the law require that all property sale transactions be registered at the immovable property registry to make them opposable to third parties? Yes 1.5
    Is the system of immovable property registration subject to a state or private guarantee? Yes 0.5
    Is there a specific compensation mechanism to cover for losses incurred by parties who engaged in good faith in a property transaction based on erroneous information certified by the immovable property registry? Yes 0.5
    Does the legal system require a control of legality of the documents necessary for a property transaction (e.g., checking the compliance of contracts with requirements of the law)? Yes 0.5
    If yes, who is responsible for checking the legality of the documents? Registrar; Notary; Interested Parties.
    Does the legal system require verification of the identity of the parties to a property transaction? Yes 0.5
    If yes, who is responsible for verifying the identity of the parties? Registrar; Notary; Interested Parties.
    Is there a national database to verify the accuracy of identity documents? Yes 1.0
    For a standard land dispute between two local businesses over tenure rights of a property worth 50 times gross national income (GNI) per capita and located in the largest business city, what court would be in charge of the case in the first instance? District Court of Helsinki
    How long does it take on average to obtain a decision from the first-instance court for such a case (without appeal)? Less than a year 3.0
    Are there any statistics on the number of land disputes in the first instance? Yes 0.5
    Number of land disputes in the largest business city in 2015: Data for 2014 not yet available
    Equal access to property rights index (-2–0) 0.0
    Do unmarried men and unmarried women have equal ownership rights to property? Yes 0.0
    Do married men and married women have equal ownership rights to property? Yes 0.0