In December 2023, the enactment of Law 132(I)/2023 brought about significant changes in property regulations, aimed at enhancing buyer protection. This legislative amendment reflects a broader trend of ongoing efforts to safeguard consumers and address power imbalances in contractual agreements. Among the notable provisions is a novel procedure endorsed by the Home Office, offering buyers added security when faced with an existing mortgage on the property.
Under this innovative procedure, buyers can now directly settle the contract amount with the mortgage lender, enabling the seamless transfer of property ownership. Importantly, this transaction enjoys precedence over any existing encumbrances typically prioritized in such cases. Furthermore, in a move towards greater transparency, sellers are now obliged to include a recent Survey Certificate as an integral part of the contract, obtained within five working days of its conclusion.
To uphold compliance with these new regulations, the law empowers the Director of the Department of Cadastre and Land Surveying to levy fines on sellers and mortgage lenders for non-compliance with specified provisions. These measures collectively aim to not only empower sellers but also ensure that all parties entering into property transactions are fully informed about the property’s status.
For further guidance on navigating these amendments, Christy’s real estate team stands ready to assist. With a diverse clientele ranging from international property firms to individual homeowners, we offer comprehensive expertise in property investment, development, finance, dispute resolution, and management. Our commitment is to provide top-tier service and tailored solutions to address even the most intricate property matters.
