When it comes to real estate, understanding the difference between registration in the land registry and confirmation of rights is critical. These are two legal concepts that form the basis of real estate transactions in Israel, and understanding them may prevent legal difficulties and problems in the future. In this article, we will examine the differences between registration in the land registry and confirmation of rights, and examine whether real estate transactions can be carried out based on confirmation of rights alone.
The Land Registry, or Tabu, is the official registry of real estate rights in the State of Israel. Every real estate transaction in Israel must be registered with the Tabu in order to be considered official and binding on third parties. Registration with the Tabu ensures that the rights in the real estate are distinct proprietary rights that are protected against any person, and includes details such as the owner's name, liens, mortgages, and caveats.
A certificate of rights is a document issued by an administrative body (Israel Land Administration, housing companies, associations, or other entities) that indicates who owns the rights to the land according to the records of that body. This certificate serves as evidence of the rights to the property, but it does not replace the registration of the rights in the land registry. A certificate of rights is mainly common on administrative lands, where the land is owned by the state and the rights of the holder are leasehold rights or other rights that are not full ownership.
Registration in the land registry indicates full ownership of the land or lease rights in certain cases. In contrast, a certificate of rights can indicate lease rights, use, or any other right other than ownership. The rights in a certificate of rights are often legally inferior rights to the rights registered in the land registry.
A land registry registration is a binding registration, which is recorded in the state land registry and is binding on third parties. On the other hand, a certificate of rights is an internal registration of a specific body and does not bind the general public, but only the body that issues it.
Property registered in the land registry can be freely traded, sold, encumbered, and its rights transferred to others. With approval of rights, tradability may be limited and transfer of rights usually requires the approval of the governing body (such as the Israel Land Administration).
Registration in the Land Registry provides the rights holder with a high level of legal security, as his rights are protected from third-party claims. Confirmation of rights, on the other hand, provides less stable legal security, as these are rights that depend on the approval of the entity that holds the rights to the property.