Where do we register our property? Cadastre, Land Registry, or both?

Where do we register our property, in the Cadastre or in the Land Registry? Or would it be better to do both? And another important question: what is Cadastral value, and what is my property's?

Firstly we’ll clarify the differences between the Land Registry and the Cadastre:

The Cadastre or Administrative Register

• Registration is free and obligatory.
• Every property is allocated a 20 digit number which identifies it.
• Is accountable to the Finance Ministry and Treasury.
• Collects the descriptions of all the real estate in a within a municipality.
• Serves as a base for the application of taxes such as Property Tax (IBI) or Transfer Tax (Impuesto de Transmisiones Patrimoniales).
• Does not guarantee the ownership of a property.

The Land Registry

• Registry is not free nor obligatory.
• The registration of property is recommended, as it grants legal protection to deal with potential problems.
• Is accountable to the Ministry of Justice.
• Is registered with the deed of sale.
• Is essential for obtaining a mortgage loan.
• Guarantees the ownership of a property.

What happens if the information present in both doesn't coincide?

These two entities are completely independent, but it is necessary that between them there is coordination in order to avoid possible discrepancies between their records and thereby avoid future problems.

The Land Registry should collaborate with the Cadastre, and by law it is required to notify the Cadastre, during the first 20 days of each month, of information concerning the registrations made in the previous month.

However, this is not always the case. It is common to encounter properties that have discrepancies between the Cadastre and the deed^[1]. These occur most often with regard to the area, property boundaries and even the location.

If this is the case, you should request that the Cadastre makes the necessary amendments. This request for amendment must be accompanied by proof; this could be the property deeds or specific plans (certified by a technician).

How can we ascertain the cadastral value of a property?

The easiest way to find the cadastral value corresponding to a property is to consult the Property Tax (IBI) receipt which indicates different values including:

• Land value
• Building value
• Cadastral value

You can also consult the web page of the Cadastre (https://www.sedecatastro.gob.es) or the Cadastre’s regional administration (Gerencia Regional del Catastro) in your Autonomous region.

The Cadastral Electronic Site (SEC) provides, among other things, access to many services and procedures (consultation and certification, declarations, requests, appeals).

What is the impact of the recent update (Decree Law 20/2017) on the cadastral value of property?

The cadastral value of a property is an administrative value that depends on the criteria of each municipality.

According to the revision approved by the Government in the last Council of Ministers in 2017, a total of 1,830 municipalities across the country suffered changes to their cadastral value, with the majority of them registering an increase. These variations can affect important taxes such as Property Tax (IBI), the Municipal Property Gains Tax or the Property Transfer Tax (ITP).

Not all places suffered the same changes; it depended on the year in which the last in-depth revision of the Cadastre, known as the Ponencia de valores, was undertaken. Different revaluation rates were applied, depending on the year in which the municipality last approved the full Cadastral revision.

The revaluation rates can be consulted in the following link: Coeficientes de actualización.

An example of the indirect impact of the cadastral revision.

“I’m the owner of a property being rented and have to declare the rental income (IRPF). As a result of the increase in cadastral value and the revaluation rates that applies to me, my income tax payment will be more.

In conclusion, we must be very clear about the difference between registering a property in the Land Registry and in the Cadastre – it’s not the same thing!

It’s also important to know: What is the cadastral value of your home? What is its value? And has it been affected by the last revision in 2017?