Romania

Registering Property in

Romania

Listed below is a detailed summary of the steps, time and cost involved in registering property, assuming a standardized case of an entrepreneur who wants to purchase land and a building that is already registered and free of title dispute.

The information appearing on this page was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 183 economies. The most recent round of data collection for the project was completed in June 2011.

  • Standard Property Transfer

  • Property Value: RON 1,178,064.04
  • City: Bucharest

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No. Procedure Time to Complete Associated Costs
* 1 Obtain information from the Cadastre

The seller obtains information drafted by an authorized expert from the Cadastre and Real Estate Publicity Office. This information includes: technical memorials, coordination inventory, analytical calculation of the land, topographical description, area plan on a scale of 1:500; and on the scale of 1:2000, description of property, the plan of the real estate, and a property statement regarding the identification of the limits of the measured real estate.

The documentation shall include:
• Application form
• A copy of the property title
• A copy of the identification documents of the owner

Order no. 186/2009 provides the deadlines for obtaining technical information from the Cadastre which differ by taking into account the relevant requested document and vary between three (3) days and seven (7) days in the normal procedure and one (1) day and two (2) days in the expedited procedure.
Order no. 39/2009 provides the relevant taxes to be paid which also vary from RON 15/hour to RON 30/sheet or even RON 150 for certain technical data.

Order no. 371/2007 was repealed by Order no. 39/2009, starting with April 16, 2009, with its subsequent amendments. In addition, any document having a public character (e.g., location layouts, cadastral data) can be obtained by any person and not only by the owner of the property.

Cost:
1. Consultation of archives on the spot - cost: 10 RON for 15 minutes.
2. Land Book information excerpt - cost: 20 RON per property.
3. Certified copies of documents from the document files and land books - cost: 5 RON per page.
4. Certificate for the identification of the topographic/cadastre number and land book number according to the name of the owner - cost: 100 RON per owner/land book office.
5. Cadastre plan excerpts - cost: 15 RON per property

Time:
1. Consultation of archives on the spot - time: on the spot.
2. Land Book information excerpt - ordinary procedure: 3 days; emergency procedure: 1 day.
3. Certified copies of documents from the document files and land books - ordinary procedure: 3 days; emergency procedure: 1 day.
4. Certificate for the identification of the topographic/cadastres number and land book number according to the name of the owner - ordinary procedure: 7 days; emergency procedure: 2 days.
5. Cadastre plan excerpts - ordinary procedure: 5 days; emergency procedure: 2 days.


Agency: Cadastre and Real Estate P ublicity Office
Time:(simultaneous with procedure 2 and 3) 1. Consultation of archives on the spot - time: on the spot. 2. Land Book information excerpt - ordinary procedure: 3 days; emergency procedure: 1 day. 3. Certified copies of documents from the document files and Cost: 1. Consultation of archives on the spot - cost: 10 RON for 15 minutes. 2. Land Book information excerpt - cost: 20 RON per property. 3. Certified copies of documents from the document files and land books - cost: 5 RON per page (3 pages). 4. Certifi
* 2 Obtain a fiscal certificate from Local fiscal authority

The seller must obtain a clearance certificate from the local fiscal authority from the district were the company has its headquarter attesting that the company has no outstanding debts whatsoever with the tax authority.



Agency: Local fiscal authority
1-5 days (simultaneous with procedure 1 and 3) RON 4 (fiscal stamp)
* 3 Obtain a fiscal certificate from the direction for public taxes of the Municipality

The Seller obtains a clearance certificate from the direction for public taxes of the Municipality from the district were the real estate is located attesting that the property is not owned by someone else and that there are no unpaid taxes.
This fiscal certificate is required for completion of a transfer of ownership. The validity of a fiscal certificate is up to 35 calendar days. According to the provisions of art. 113 of the Romanian Fiscal Procedure Code, the validity of a fiscal certificate lasts until the end of the month within which the certificate is issued.

The documentation shall include:
• An application from the owner
• A copy of the last receipt with which it is demonstrated that there are no unpaid taxes
• A copy of the identification documents of the owner
• The last accounting records of the company
• The power of attorney for the company's representative

Agency: Municipality
1-5 days (simultaneous with procedure 1 and 2) RON 4 (fiscal stamp)
* 4 Obtain a Land Registry extract (non-encumbrance certificate) from the Land Registry office

The public notary legalizes the transfer deed, fills in the application form to obtain a Land Registry extract from the Land Registry office, and sends it to the Land Registry office, usually by fax. The authentication excerpt may only be obtained by a notary public. In order to obtain the authentication excerpt the notary public must submit to the relevant land registry office the application signed and stamped by the respective notary and the owner of the property, as well as the proof of payment of the fee.
The validity of the extract is 5 business days, starting with the day and hour when the application form was registered, until the end of the 5th day. During those 5 business days the registering clerk has no power to make any other operation except for the one for which the extract was required--the Land Book is blocked during this period, in order to assure the security of the real estate transactions.

Authentication excerpt can be obtained in 3 days (regular procedure, cost 20 RON) or in 1 day (expedited procedure, cost 100 RON); Information excerpt can be obtained in 3 days (regular procedure, cost 40 RON) or in 1 day (expedited procedure, cost 200 RON).

The documentation shall include:
Application for the Land Registry extract
A copy of the identity documents
A copy of the registration decision
A copy of the fiscal certificate (obtained in Procedure 2)


Agency: Land Registry office
3 days (regular procedure) or 1 day (expedited procedure) Authentication excerpt - 40 RON in regular procedure, 200 RON in expedited procedure; Information excerpt - 20 RON in regular procedure, 100 RON in expedited procedure
5 The notary authenticates the transfer deed

The notary verifies the non-encumbrance and fiscal certificates and authenticates the sale purchase agreement. Without these certificates, the notary may not authenticate the agreement. The notary’s fees and authentication taxes could be paid either directly to the notary or through special bank accounts organized for such purposes.
If the notary operates for a different area than the one in where the real estate is located, then the interested party should provide the standards of the minimum taxation values applying in the area where the real estate is located.
Though not mandatory, a lawyer may conduct due diligence before this procedure, by studying the previous successive transfers of the respective property and identification of the parties. After the due diligence the parties finalize the sales agreement. A lawyer may charge about RON 3,200 and take a couple of days for the due diligence

The documentation shall include:
The property title in original, which will state the way in which the property was obtained
Fiscal certificate (obtained in Procedure 2)
The cadastre information drafted by an authorized expert, which will include the identification elements of the real estate: the plan of the real estate, its description, the area plans (obtained in Procedure 1)
Non-encumbrance certificate (obtained in Procedure 3)
Sale purchase agreement

Value of the transaction (in RON) Amount of the fees (in RON)
Below RON 13,696 2.5% but no less than RON 150
From RON 13,696 to RON 27,499 2% but no less than RON 342
From RON 27,499 to RON 54,891 1.5% but no less than RON 618
From RON 54,891 to RON 274,562 1% but no less than RON 1,029
From RON 274,562 to RON 549,231 0.75% but no less than RON 3,266
Above RON 549,231 0.5% but no less than RON 5,286
A discount up to 15% might be given by the Notary if the sale and purchase agreement is drafted by a lawyer.
Starting with 1st of January 2007 only the notary fee is due. The authentication tax was revoked and replaced with the income tax obtained following the transfer of the real estate properties from the personal patrimony of the Seller as individual.

For legal entities a 16 % income tax is to be applied to the profit resulted in the company's balance sheet, including this transaction.


1-2 days RON 5,080 + 0,44%, of the transaction value exceeding RON 600,001 (notary fees) Value of the transaction (in RON) Amount of the fees (in RON) Below RON 15,000
6 Register title in the Land Registry Office

The same public notary applies for registration of the property title at the Land Book Office, by sending the application and the original notary deed, directly or by fax, to the district Land Book Office where the real estate is placed. Therefore, the registration is performed ex officio by the notary, based on the authenticated sale purchase act.
An expedited option is available given that an extra fee of 5 times the normal fee will be added. The extra fee can not be more than RON 5,000. Registration fees are 0.5% of property value with a minimum of RON 60 according to Order no 39/06.04.2009, for a procedure that takes 9 days. An expedited procedure is available (3 days) for an additional fee of 2.5% of property value. According to the article 6 of Order no 39/2009, this additional fee cannot exceed RON 5000. Only when the real estate is registered in the Land Book for the first time a tax of RON 120 should be paid for this registration.

In case the owner registers his/her property for the first time (i.e. following the reconstitution of the ownership for which the cadastre is made for the first time) the terms for registration are 21 days (regular procedure) or 7 days (expedited procedure).

The documentation shall include:
Sale-purchase contract (notarized in Procedure 4)
Fiscal certificate (obtained in Procedure 2)
Cadastre certificate (obtained in Procedure 1)
ID of the buyer
A registration application
The property title, all the originals, plus a legalized copy from a public notary
Proof of total payment.


Agency: Land Registry Office
9 days (regular procedure) or 3 days (expedited procedure) 0.5% of property value (regular); 2.5% of property value (expedited). Minimum RON 60. Extra fee cannot exceed RON 5,000.
7 File fiscal declaration of acquiring the property

The fiscal declaration of the acquisition of the property is filed by the buyer at the Local Tax Department. The declaration must be performed within 30 days of the authentication date.
The documentation shall include:
Tax statement for the respective real estate
The property title, in original and a copy
Accounting documents (invoice, analytical balance, balance sheet, etc.)
Cadastral documents
Copy of the registration certificate of the company


Agency: Local Tax Department
1 day Up to RON 10
8 Registration of the work place with the Trade Register Office

The buyer should apply for registration with the Trade Register Office of the work place located at the newly acquired property. If the property is a working unit of the company, it has to be registered, as it is mentioned in the Commercial Registration Law (Law Number 26 1990). The registration includes, among others, environment, sanitary, fire protection, labor approvals from various relevant authorities, all located in a one-stop shop. The registration is not necessary for the transfer of title, but only for making it opposable to third parties and for registration as a place of business. The concrete use of the property as a work place is not required but the evidences necessary for using it as such are needed for obtaining the authorizations within the corporate registration process. Stamp tax and registration fees are lump-sum taxes and do not depend on the property value.
The Trade Register tax and fees could be paid either directly to the Trade Register or through special bank accounts organized for such purposes.

In summary, the total amount to be paid for the registration of a working place is made up of several taxes. When the application is filed only for the establishment of the working place, the taxes are:

1. Ascertaining certificate – 30 lei
2. Registration of secondary business place – 30 lei
3. Registration of the standard-form (regarding the fulfillment of the conditions to perform activities) – 30 lei
4. Liquidation fund (20% of points 1-3) – 6 lei
5. Bulletin fund (5% of points 1-3) – 1.5 lei
6. Judicial stamp duty – 39 lei
7. Commission for the judge’s mention – 60 lei
8. Transmission of documents to be published in the Official Gazette – 20 lei
9. Official Gazette commission (depends on the number of documents, for this example we have counted 5) – 50 lei
10. Publication in the Official Gazette (depends on the number of rows in the document; only the resolution deciding the establishment of the working place is published) – 80-150 lei
TOTAL – 350-420 lei.


Agency: Trade Register Office
5 days RON 350 - RON 420
* Takes place simultaneously with another procedure.