Purchasing real estate is a fundamental decision, often the culmination of years of planning and savings. This process, while exciting, is fraught with formalities that can seem complicated and expensive. One of the key, yet inevitable, steps is making an entry in the land and mortgage register. This public register constitutes the final confirmation of our rights to our dream apartment or house. The central question every buyer asks is: how much does a land and mortgage registration cost ? The answer is more complex than a single figure, as the final cost depends on several factors, and the process itself can be fraught with legal nuances.
Many myths have arisen around court fees and deadlines. Some perceive them as a minor formality, others as a costly and lengthy hurdle. The truth, as is often the case, lies somewhere in between. Understanding the fee structure, being aware of waiting times, and familiarity with procedures will allow you to navigate this stage efficiently and without unnecessary stress, while protecting the most important investment of your life.
Mortgage entry in the land and mortgage register – cost and waiting time
The main cost component of modifying land and mortgage register entries is the court fee . Its amount is regulated by the Act on Court Fees in Civil Cases, meaning that the rates are fixed and uniform across Poland. For the most common real estate transactions, fixed fees apply.
The most important of them are:
- PLN 100 – for establishing a new land and mortgage register;
- PLN 200 – for entry of ownership or perpetual usufruct;
- PLN 200 – for the entry of limited property rights, such as mortgage or easement;
- PLN 100 – for deleting a mortgage (half the entry fee);
- PLN 60 – for a request to correct a section of the IO or to make other minor changes.
In addition to the court fee, the notary’s remuneration, also known as the notarial fee , must be taken into account . When preparing the notarial deed of the sales agreement, the notary is obligated to collect not only his or her fee from the parties but also applicable taxes (e.g., the Civil Law Transaction Tax (PCC)) and court fees for registration. The notary acts as an intermediary, then transferring these funds to the relevant land and mortgage register court. Therefore , key factors that influence the total transaction cost include not only the type of registration but also the value of the property (which determines the notarial fee and the PCC fee), the scope of notarial activities, and any additional fees. Typically, although not mandated by law, all these costs are borne by the buyer.
Mortgage entry and deletion – costs, deadlines and independent actions
For most buyers, a mortgage is an integral part of the purchase. In such a scenario, it becomes necessary to establish a mortgage in favor of the bank in Section IV of the land and mortgage register. This is crucial security for the financing institution. The registration fee is a fixed PLN 200 plus PLN 19 of the civil law transaction tax.
The waiting time for registration can be a much greater challenge than the cost itself. This element of the process generates the most emotion. The regulations do not specify a statutory deadline, and practice shows that it can take from several weeks to even several months. This period depends on the workload of the given land and mortgage register department; in large metropolitan areas like Warsaw or Krakow, it is usually longer. During this time, banks apply so-called bridging insurance , which increases the monthly loan payment until the mortgage registration is final.
What if the loan is repaid? The property owner must independently ensure the mortgage is removed.
How to submit an application for deletion of a mortgage yourself?
This process does not require the involvement of a notary. After receiving consent from the bank to cancel the mortgage (the so-called “letters of erasure “), you must:
- Complete the KW-WPIS form . Although the name suggests an entry, it is used for all changes, including deletions.
- Attach the original consent from the bank and proof of payment of the court fee.
- Pay a fee of PLN 100 (by transfer to the court account or at the court cashier).
- Submit a complete set of documents to the registry office of the appropriate district court that maintains the land and mortgage register for the given property.
The importance of the land and mortgage register – why is this entry so important?
An entry in the land and mortgage register is not a mere bureaucratic formality. It is the foundation upon which the entire structure of real estate security in Poland rests.
A key mechanism here is the public trust guarantee of land and mortgage registers . This principle, enshrined in law, protects buyers acting in good faith. This means that if we buy real estate from someone listed in the land and mortgage register as the owner, our rights are protected, even if it turns out that person was not the actual owner.
Moreover, entries are divided into two types. The entry of ownership rights is declaratory in nature —it merely confirms the right acquired at the time of signing the notarial deed. The entry of a mortgage, on the other hand, is constitutive , meaning that the right only comes into being upon its entry in the land and mortgage register.
Does every property have to have a land and mortgage register?
Although this is standard practice, there are still properties without a registered land register, such as some cooperative ownership rights to a property. However, registering a land register is almost always a necessary condition for obtaining a mortgage loan and significantly increases the security and market value of the property.
FAQ – Frequently Asked Questions
Who pays for land and mortgage registration – the buyer or the seller? According to the Civil Code, the costs of preparing a sales agreement are borne equally by both parties. However, established market practice shifts almost all transaction costs, including court fees for registration, to the buyer. However, this is a matter of convention.
Can I sell my apartment while waiting for the ownership registration? Yes. Ownership is transferred to the buyer upon the conclusion of the sales agreement in the form of a notarial deed. The entry in the land and mortgage register is merely confirmatory. Therefore, it is possible to sell the property without being listed in Section II of the land and mortgage register.
What should you do if there’s an error in the land and mortgage register (e.g., a misspelling of a surname)? You should file a motion with the court to correct an obvious clerical error. This is a simpler and less expensive procedure than amending substantive information. The fee for such a motion is typically PLN 60. Do entries for gifts or inheritances cost the same? The fee for registering property based on a gift is also PLN 200. In the case of inheritance, the fee is a flat PLN 150, regardless of the number of properties inherited.
Katarzyna Borkowska