Modern society requires that ownership, especially ownership of immovable property has to be securely protected. Undoubtedly, the most important measure in this area is the registration of property. Registration of title to real property is a formal recognition and verification of the change or termination of real estate ownership by making the relevant entry in the State Register of legal rights to real estate.

The question is, why should we register the ownership, if in accordance with part 3 and part 4 Art.334 of Civil Code of Ukraine ownership of the property under the agreement, which must be notarized, arises after the agreement is notarized, and if an agreement is subject to state registration purchaser ownership arises from the time of the agreement registration. It is quite right indeed. However, one should distinguish the state registration of the agreement dealing with the property and registration of  title to property together with the regime of real personal property.

Ukraine has a Temporary order of state registration of contracts approved by the Cabinet Resolution of 26 May 2004, #671, according to which the registration of the agreements is held by notary. The state registration of the agreement takes place simultaneously with its notarization and consists in entering the relevant information to the State Register of Agreements. A copy of an extract from the Register is provided to the parties of the agreement for the confirmation of the fact that such an agreement has been concluded.

Speaking of the state registration of property rights it is held by the Bureau of Technical Inventory (BTI). As a result of this procedure the person – from this particular  moment the official owner of the property – has received a certificate of ownership.

Part 3 and part 4 Art.334 of Civil Code of Ukraine is applied in cases where agreements  are concluded for movable property such as cars. However, under the law, the ownership of real property is subject to state registration and respectfully arises from the time of registration.

There are cases when people are building their own house and live in it. In fact, they are the owners of the property, but since the state registration of title to real property hasn’t been held, such right is not officially recognized by the state and as a result – a person can not alienate such a house. Proof of this is ch.6 Article 3 of Law of Ukraine “On state registration of rights to real property and its liens” of April, 16 2010, according to which, any transactions dealing with real estate (alienation, management, mortgages, etc.) can be concluded only if ownership of such property is registered in accordance with the requirements of this law.

State registration of property ownership can take place on the grounds of the following documents: the agreement which under the legislation provides for the transfer of property ownership, including sale, exchange, gift, life maintenance, leasing, which is the subject of property, suppression of the right to alimonies as a result of child maintenance dealing with the transfer of ownership of real estate, mortgage contract, the hereditary contract (if there is a certificate of civil registration of death or a court decision declaring such a fact), contracts dealing with the allotment of shares in property that is jointly owned or the division of property that is jointly owned;

certificate of title to the share of marital property in case of death of a spouse, issued by a notary;

certificate of inheritance, issued by a notary;

certificate of the property purchase at public auction (auctions), issued by a notary;

certificate of title to real property, issued by local government;

certificate of title issued by the privatization authorities for tenants of premises in state and municipal houses’ and on the basis of other documents specified in the legislation.

For registration of the property rights you need to appeal the BTI with relevant documents and the application for registration of property rights. It should be remembered that from 1 January 2012 the registration of property rights will be held by the territorial bodies of the Ministry of Justice of Ukraine.

Therefore, registration of real estate ownership – an element of security and orderliness of property owners’ rights, which should be observed.

SC Group, Ukraine