The Importance of Verifying the Legal Status of Your Property in the Puerto Rico Property Registry

The Importance of Verifying the Legal Status of Your Property in the Puerto Rico Property Registry

The Property Registry in Puerto Rico plays a fundamental role in the legitimation of rights over real estate, such as homes, land and farms. This public body is in charge of officially validating everything related to property rights, through the registration of legal acts such as purchases, sales, leases, mortgages and donations, among others, carried out through public deeds by notaries.

Often, when conducting a title search for property sale, purchase, division or gift transactions, unexpected situations unknown to the owners are discovered.

Among the most frequent surprises found when reviewing the records are: (1) properties built on land that has not been legally segregated, resulting in occupations of other people's land; (2) properties listed in the names of deceased persons, which requires a probate process that varies from case to case; (3) properties still registered in the name of an ex-spouse, because the liquidation of the post-divorce community property was not carried out in the Property Registry, which maintains both as co-owners until its proper registration; and (4) acquired land on which improvements or extensions have been built without the corresponding legal notification to the Property Registry, making the independent disposal of these constructions impossible.

It is common for title transfer transactions to not be properly recorded due to errors in the deeds that have not been corrected or not presented at all, leading to discrepancies between the actual physical situation of the property and its legal recorded status.

This scenario underscores the importance of conducting detailed inquiries and title studies before proceeding with any real estate transaction. Knowing the legal status of a property not only avoids unpleasant surprises but also ensures smoother and safer transactions. It is essential for owners, buyers and sellers to understand that the physical reality of a property may differ significantly from its legal reality, which could potentially affect its value and transferability. This prior knowledge can make it easier to resolve problems before they become insurmountable obstacles to the sale, purchase or inheritance of real estate.