Main differences between the Land Registry and the Property Registry in Spain

In the real estate sector, one of the most common misconceptions among buyers with little experience is assuming that the Cadastre (Land Registry) and the Property Registry are the same. But nothing could be further from the truth.

Although both institutions work in coordination under Spanish law, they serve completely different purposes. Understanding how each one functions is essential to protect your investment and ensure legal certainty when buying property in Spain.

In this article, we explain the key differences between the Cadastre and the Property Registry, how they relate to each other, what information they contain and what steps to take if their data does not match.

The Cadastre: an administrative and tax register

The Land Registry is an administrative and statistical register managed by the Spanish Ministry of Finance. Its primary role is not to certify ownership, but to collect and manage property data for tax and urban planning purposes.

Main functions and characteristics of the cadastre

The main characteristics and functions of the Land Registry are detailed below:

• Free and mandatory registration: all properties must be registered once acquired.
  
• Unique identification: each property is assigned a 20-digit cadastral reference number.
  
• Detailed property data: surface area, boundaries, land use (urban, rural or special), built and usable square metres.
  
• Tax calculation base: used to calculate taxes such as IBI (local property tax) and Property Transfer Tax.
  
• Does not prove ownership: being registered in the Cadastre does not legally confirm who owns the property.

The Cadastre plays a key role in taxation and urban planning, but it does not offer legal protection of ownership rights against third parties.

The Property Registry, legal security and ownership

The Property Registry, on the other hand, is governed by the Spanish Ministry of Justice. Its main purpose is to provide legal certainty by officially registering ownership rights and any charges affecting a property. This includes mortgages, easements, liens or embargoes.

Main functions and characteristics of the Property Registry

• Registration is not free nor mandatory, although it is strongly recommended to safeguard your investment.
  
• Legal protection against third parties: it guarantees ownership rights.
  
• Operates under the Ministry of Justice, unlike the Cadastre.
  
• Requires a public deed: registration must be based on a notarised deed of sale or another valid legal title.
  
• Essential for mortgages: a property cannot be mortgaged unless it is registered.
  
• Official proof of ownership: legally confirms who the owner is.

In short, while the Cadastre has administrative and fiscal purposes, the Property Registry is the only system that provides full legal protection of property rights.

Differences between Cadastre and Property Registry

In summary, the main differences between the Land Registry and the Property Registry are as follows:

As can be seen, the Property Registry and the Cadastre are not the same, although both are complementary and work in coordination.

How the Cadastre and the Property Registry work together

Despite their different roles, there is coordination between both institutions:

• Cadastral reference in registry deeds: the cadastral reference must be included in the title deed.
• Monthly communication: the Property Registry informs the Cadastre of registrations made each month.
• Accurate property identification: helps avoid confusion regarding boundaries, surface area or location.

Even so, discrepancies between the two records are relatively common, especially regarding surface area, boundaries, or location.

Discrepancies between Land Registry and Property Registry

When information differs between the Cadastre and the Property Registry, this is known as a cadastral discrepancy. It may affect:

• Surface area
• Boundaries and limits
• Property location

How to resolve a discrepancy?

When discrepancies are detected between the Land Registry and the Property Registry, there are clear steps to resolve them legally and effectively, ensuring your property data is accurate and your rights are protected. The recommended steps are:

1. Document review: Verify deeds, technical plans or certificates prepared by qualified professionals.
2. Request cadastral rectification: submitted to the General Directorate of the Cadastre with supporting evidence.
3. Update the Property Registry: If required, although legal ownership recorded in the Registry always prevails.

Any technical correction is processed through the Cadastre, which is the competent authority.

Similarities and links between Cadastre and Property Registry

Despite their differences, the Cadastre and the Property Registry share important common goals:

• Both uniquely identify each property.
• Coordination prevents inconsistencies.
• They facilitate tax compliance and legal security.

For this reason, when investing in property in Spain, it is always advisable to consult both records: the Cadastre for technical and fiscal information, and the Property Registry to confirm ownership and the absence of charges.

Protect your property investment with Prime Invest

At Prime Invest, we understand that legal certainty and efficient asset management are essential for any real estate investment. As a specialist in real estate consulting and thanks to our project management services, we support investors throughout the entire process, coordinating all aspects related to the Cadastre and the Property Registry to ensure a secure, efficient and strategic investment.

Contact us today and receive expert advice to protect and maximise your real estate investments in Spain.