The Chilean Real Estate Registry System

Posted on Oct 15, 2024 in Law & Jurisprudence

Overview

The Chilean Real Estate Registry System is managed by the Registry Conservatory of Realtors. Its basic provisions are found in Articles 686 and following of the Chilean Civil Code, and the Regulations of the Register of Real Estate Conservatory of June 24, 1957. Its organization and function are primarily governed by this regulation.

Key Features

  1. Operates as one office per province (with three officials heading the Santiago office).
  2. Maintains the Code book, the Register, and the General Index.
  3. Is public, and the Conservator is obligated to provide certified copies upon request.

The Code Book

The Code book is a record of all titles submitted to the Conservator, in chronological order of admission. Each entry includes:

  1. Full name of the submitter
  2. Nature of the act or contract
  3. Class of enrollment requested (e.g., domain, mortgage)
  4. Time, day, and month of submission
  5. Partial record and corresponding number (Article 32)

The Register

The Register consists of three books:

  1. Property Register (records transfer of domain)
  2. Register of Mortgages and Charges (mortgages, liens, easements, etc.)
  3. Register of Bans and Prohibitions (impediments to transfer)

All records begin and end within the same year.

The General Index

The General Index allows for system performance by facilitating the location of inscriptions and reconstruction of building histories.

Conservator’s Responsibility

The Conservator’s liability for negligence, fraud, and abuse is governed by general tort liability rules (Articles 2314 and following). Official responsibility is governed by the COT.

Registrable Securities

Mandatory Registration

The following must be registered:

  1. Titles transferring ownership of real estate
  2. Shares of usufruct, use, housing, and mortgage census on real estate
  3. Final judgments declaring acquisitive prescription
  4. Constitution of trusts on buildings
  5. Establishment of usufruct property levied inter vivos
  6. Constitution of use and habitation imposed inter vivos
  7. Constitution, division, reduction, and redemption of census
  8. Constitution of census for life
  9. Constitution of mortgage
  10. Waiver of any of the above rights
  11. Temporary restraining orders and definitive orders
  12. Decrees rehabilitating incapacitated individuals
  13. Decrees conferring final possession of disappeared properties

Permitted Registration

The following may be registered:

  1. Any precedent or resolutory condition of domain
  2. Any precedent or resolutory condition of other property rights
  3. Any tax imposed on immovable property (other than those in Article 52)
  4. Leases (Article 1962)
  5. Any other act or contract permitted by law
  6. Any frustration or prohibition related to real estate

Registration Procedures

Annotation in the Code

This is the record of a diploma’s submission and receipt for enrollment. The Conservator does not examine the legality of the securities but may refuse enrollment in certain cases (Articles 15 and 67).

Obligation to Register and Grounds for Refusal

The Conservator is obligated to register submitted securities without delay (Articles 12, 13, 14, 25, and 70). Refusal is permitted on grounds mentioned in Articles 13 and 14. Disputes are resolved by the court of first instance.

Deadline for Registration

The regulation does not specify registration deadlines. Key considerations include the title’s effective date and the nature of the transaction.

Registration of Notices (for Unregistered Buildings)

A special procedure exists for incorporating unregistered buildings into the registry (Article 693 CC and 58 of the Regulations):

  1. Public notices of transfer in a local journal
  2. Posting a sign at the Conservator’s office for at least 15 days

Registration can occur within 30 days of the Conservator’s certificate.

Preparation and Content of Inscriptions

Regulations govern the format of inscriptions (Articles 73, 75, 76, and 77). Content is an abstract of the title, varying depending on the title’s nature (Articles 690 et seq and 78 et seq CC and Regulations).

Subinscriptions

Errors or modifications after enrollment are addressed through marginal notes called subinscriptions (Articles 88, 89, and 91). A new title requires a new registration unless the antecedent is a court sentence.

Cancellations

Cancellations nullify a registration and are made through subinscriptions (Article 728).

Reinscriptions

Re-registration involves re-entering already registered buildings without changing ownership.

Tradition of Shares

The method of tradition depends on whether the share is in a singular or universal thing.

  1. Share in a singular thing: Tradition is by registration (Article 686).
  2. Share in a universal thing: Controversy exists regarding the method of tradition.

Registrations in Succession Upon Death

Registration in succession serves the tradition of real estate rights and provides public notice (Article 688). Heirs acquire domain and legal possession upon death but require registration to dispose of the property.

Heirs may obtain the estate through:

  1. Judicial or administrative decree granting actual possession (Article 688 No. 1)
  2. Registration of the possession order and will in probate cases
  3. Special enrollment of inheritance (Article 688 No. 2)
  4. Special registration of the partition act (Article 688 No. 3)

Enrollment in Prescription

Registration in prescription serves to:

  1. Place the property under the registered property regime
  2. Maintain real estate history
  3. Make the award effective against third parties