Transfer of Property Act at El Salvador
In El Salvador, there is no single law named "Transfer of Property Act" as found in countries like India. Instead, the transfer of property is regulated under several legal instruments, primarily the:
📘 Salvadoran Civil Code (Código Civil de El Salvador)
This is the main body of law that governs property rights, contracts, and obligations, including how property—both movable and immovable—is transferred. The relevant sections address:
Modes of acquiring property (sale, gift, inheritance, exchange, prescription)
Contracts that result in the transfer of property
Registration requirements
Rights and obligations of buyers and sellers
🏠 Key Legal Concepts in Property Transfer:
1. Sale (Compraventa)
Must be in writing, particularly for immovable (real estate) property.
Involves a public deed executed before a notary public.
Requires registration in the National Registry Center (Centro Nacional de Registros - CNR) to be legally effective against third parties.
2. Donation (Donación)
A voluntary transfer of property without payment.
Subject to similar formalities as a sale, especially for real estate.
Often scrutinized for tax implications and must be done by public deed.
3. Inheritance
Governed by civil code and family law.
Requires probate procedures to determine heirs and transfer title.
4. Registration
Property must be recorded with the Registro de la Propiedad Raíz e Hipotecas within the CNR for ownership to be legally recognized.
5. Taxes and Fees
Transfer tax (Impuesto de Transferencia de Bienes Raíces)
Notarial and registration fees
6. Foreign Ownership
Foreigners can own property, but with restrictions in certain sectors (e.g., near borders or for agricultural land exceeding a certain size unless conditions are met).
Summary:
El Salvador regulates property transfer primarily through its Civil Code, not a dedicated "Transfer of Property Act." Transfers require formal contracts (often notarized), registration, and tax compliance. The National Registry Center plays a central role in property rights and transactions.
RELATED Blog
0 comments