How to Safely Verify Property Ownership Before Purchase

Quick Check in the Land Registry

The first step is to review the current land registry extract (ownership sheet). In the registry entry, check:

Section A (possession sheet): the exact description of the property, cadastral municipality and parcel number.
Section B (ownership sheet): who the owner is and in what share; this must match the person selling the property.
Section C (encumbrance sheet): whether there is a mortgage, notice of a dispute, easements, or a pending registration (plomba). A plomba means a registration procedure is in progress and may change the legal status of the property.

If a mortgage exists, request a bank discharge statement as a condition of payment. If there is a dispute notice or enforcement, it is reasonable to postpone the purchase until the risk is resolved or to agree on strict escrow conditions with payment only after the encumbrance is removed.

Alignment of Land Registry and Cadastre

Compare the land registry data with the cadastre: the possession sheet and the cadastral plan. The parcel number, area, and actual condition must match. Discrepancies (different parcel number, old boundary lines, different area) are resolved through a geodetic report and registration; before paying a larger deposit, request that the owner complete the alignment. For building plots, check whether a subdivision (parceling) report has been completed.

Construction Documentation and Legality

For houses and apartments built or reconstructed after the relevant deadlines, it is necessary to check:

• Building permit and main project plan
• Use permit or, for legalized buildings, the legalization decision
• Any prohibitions on use or inspection decisions

Without a use permit, there is a risk regarding utility connections, insurance, and future resale. Request the energy certificate, technical inspection confirmations, and evidence of the condition of the chimney, gas installation, and electrical system—especially for luxury villas and seaside apartments, for example in Zadar.

Condominium Ownership and Special Units

For apartments, it is essential that condominium ownership has been established. Request:

• The condominium (etážni) report and registration of ownership of the specific unit (apartment/commercial space/parking space)
• The exact description of the unit with appurtenances (garden, terrace, parking space), co-ownership shares, and usage restrictions

If the parking space is not an independent unit, check whether there is a right of use or an easement, as this affects the value and future sale.

Restrictions, Zones, and Special Regimes

For seaside properties, check whether the land borders maritime domain or lies within a protected coastal zone. Checking spatial plans (GUP/UPU) reveals zoning, possibilities for extensions, and required distances from boundaries and the sea. For culturally protected areas, agricultural or forest land, special conditions and pre-emption rights may apply. For access roads, check the existence of a right of way and infrastructure easements.

Boundaries and Actual Condition

If there is doubt about boundaries or area, hire a licensed surveyor to identify boundaries and align them with the cadastre and field conditions. For large estates or villas with pools, request roof inspections and drone footage to identify possible illegal additions or deviations from the project.

Verification of the Seller and Powers of Attorney

The identity and legal capacity of the seller are crucial. For an individual, verify their personal identification number (OIB) and, if the property is marital property, the spouse’s consent. If someone is selling via power of attorney, the document must be notarized and authorize the sale of the specific property.

For a legal entity, request an extract from the business register, the decision of the competent body (e.g., shareholders’ meeting), and the signature of the authorized person. For minor co-owners or persons lacking legal capacity, appropriate approval from the competent authority is required.

Contractual Protection and Safe Transfer of Ownership

Structure the process in clear steps:

1. Letter of intent or reservation with a minimal deposit and clearly defined deadlines and preconditions (removal of mortgage, delivery of use permit, condominium establishment).
2. Pre-contract defining performance deadlines, payment terms, and penalties. The deposit should reasonably depend on fulfilling the conditions.
3. Purchase agreement with the precise description of parcels, special units, appurtenances, and the seller’s statement that the property is free of encumbrances.
4. Tabular declaration and notarization; the buyer immediately files for ownership registration after conditions are met.

Payment is safest via an escrow account (lawyer or notary deposit), where funds are released to the seller only after delivery of discharge documentation and signing of the tabular declaration. For international transactions, such as buying foreign real estate, request SWIFT confirmations and align exchange rates and bank fees.

Costs and Tax Aspects

Include in your budget:

• Real estate transfer tax (applies to used properties; check the applicable rate) or VAT for new and commercial projects
• Notary and court fees for registration, extracts, and certification, surveyor fees, and, if necessary, lawyer fees
• Certificates confirming no outstanding utility or building maintenance charges and the cost of property valuation, if needed

Final Checklist for a Safe Purchase

• Current ownership sheet without pending registrations or disputes; ownership data matches the seller
• Aligned cadastre and land registry; correct parcel and area
• Valid building and use permits or proper legalization
• Clearly defined special units and parking rights
• No active encumbrances; discharge documentation exists if there is a mortgage
• Verified seller identity, required consents, and valid power of attorney
• Contract with tabular declaration, conditional payment via escrow, and timely submission of the registration request

Proper verification of documentation, legal status, and actual condition minimizes risk and ensures that the purchase, contract, and ownership transfer proceed clearly and without unpleasant sur