Obtain a non-encumbrance certificate from the “Banco de Previsión Social”
Agency: Social Security Institute (Banco de Previsión Social)
The seller must obtain a certificate of good standing with the “Banco de Previsión Social”, which certifies that he is free of debt of any social security contributions. It is now possible to see online the status of the request. The documentation shall include: (i) Public deed of the purchase by the previous owners for prior 30 years (or a notarial certificate attesting to the ownership and date of acquisition of the real estate by the seller); and (ii) sworn statement regarding the existence and date of constructions in the plot.
Time and cost: 15 days, UYU 170 (One Professional Stamp (UYU 170))
Obtain a certificate of connection to the Public Sewage System from the Municipality (Intendencia de Montevideo)
Agency: Municipality (Intendencia de Montevideo)
In accordance with Art. 15 of Law 18840 of November 23rd, 2011 the seller must request a certificate that ascertains whether the property is connected to the Public Sewage system to the Municipality (in our case, the “Intendencia de Montevideo). The seller has to submit a sworn declaration stating information regarding the property to be transferred, and in particular if it is connected the Public Sewage system. Then, the Municipality establishes if that statement is true or correct by verifying the information submitted with its records or by sending an inspector if necessary. Although this process can be carried out online, the certificate must be withdrawn in person.
The parliament of the Department of Montevideo approved Decree No. 35.904 which sets up the budget for the Municipality of Montevideo (Intendencia de Montevideo) for 2016/2020. Article 21 of the Decree, which entered into force on March 1, 2017, establishes the fee for obtaining a certificate of connection to the Public Sewage System (certificado de saneamiento) in 1 Adjustable Unit (unidad reajustable).
Time and cost: 7 days, UYU 1,333.97 (One Unidad Reajustable (Tax Unit) plus One Professional Stamp: UYU 1163.97 at the Municipality plus a stamp Duty of UYU 170)
Obtain a non-encumbrance certificate at the Real Estate Office (Registro de la Propiedad Inmueble)
Agency: Real Estate Registry (Registro de la Propiedad Inmueble)
Obtain a non-encumbrance certificate for the past 30 years at the “Registro de la Propiedad Inmueble” (Real Estate Registry), in order to check if there are any mortgages, liens or other encumbrances on the property. It is possible to expedite this procedure
Time and cost: 3 days, UYU 1,265 (Cost of obtaining the certificate is UYU 1,265)
Obtain a non-encumbrance certificate at the “Registro de Actos Personales”
Agency: Registro Nacional de Actos Personales (General Directorate of Registries)
Obtain a non-encumbrance certificate for the past 30 years at the “Registro de Actos Personales”, in order to know if the prior owner or other prior owners had any encumbrances or liens.
Time and cost: Less than 1 day (online), UYU 1,265 (Cost of obtaining the certificate is UYU 1,265)
Obtain a non-encumbrance certificate at the Municipality
Agency: Municipality (Intendencia de Montevideo)
Obtain a non-encumbrance certificate for the past 10 years at the Municipality. The cost of this certificate is fixed in “Unidades Reajustables” (UR) plus one professional stamp. The value of the UR changes every month according to the variation of the Average Salary Index. Therefore, the cost of the Procedure changes every month. The “Ley de Ordenamiento Territorial N° 18.308” from June 30 2008, in its article 66 states that municipalities have the priority to buy properties when transferred. Though the Resolution N° 4144/2009 dated on 28th, September 2009 of the Municipality of Montevideo, the Municipality rejects its right of pre-emption regarding to property acquisitions.
Time and cost: 1 day, UYU 1,333.97 (One Unidad Reajustable (Tax Unit) plus One Professional Stamp: UYU 1163.97 at the Municipality plus a stamp Duty of UYU 170)
Obtain a “Cédula Catastral” at the Cadastre
Agency: Cadastre (Direccion del Catastro Nacional)
A cadastral certificate (“cédula catastral”) is obtained from the Cadastre in order to know the value of the property.
Time and cost: Less than 1 day (online), UYU 540 (Fee for “Cedula Informada” is UYU 540)
The sale agreement is prepared by a notary
Agency: Notary
A public notary prepares the sale and purchase agreement. The participation of a notary is mandatory, otherwise the deed would not be valid. The notary fees are regulated by the “Asociación de Escribanos del Uruguay” (or Uruguayan Notary Association) setting the official fees (sometimes notaries might charge less than the official rate). The seller is responsible for gathering all the documentation to be presented to the public notary. Once the sale agreement is ready it must be signed by the seller and the buyer, and the notary collects the money to pay the transfer tax (4% of the cadastral value, paid half by buyer and half by seller). The documentation shall include:
- Public deeds of the purchase by the previous owners for prior 30 years;
- Non-encumbrance certificate of the “Banco de Previsión Social” (obtained in Procedure 1);
- Non-encumbrance certificate from Registro de la propiedad inmueble (obtained in Procedure 2);
- Non-encumbrance certificate from “Registro de actos personales” (obtained in Procedure 3);
- Non-encumbrance certificate from the Municipality (obtained in Procedure 4);
- Certificate of connection to the Public Sewer System from the Municipality (obtained in Procedure 5);
- Photocopy of the ID of seller;
- All tax receipts concerning the use of the property for prior one year;
- The plan of the survey of property and the plan of the constructions;
- Certificate of the National Trade Registry;
- Certificate of the Tax Authority (since the seller is a limited liability company).
Time and cost: 20 days, UYU 741,321.96 (3% of property price (notary fees))
The notary pays the transfer tax
Agency: Tax Authority (Dirección General Impositiva)
The public notary pays the transfer tax or “Impuesto a las Trasmisiones Patrimoniales”. The rate is 4% which is shared between both the buyer and the seller (each one will pay 2%). The cadastral value is given by the “Cédula Catastral” (obtained in Procedure No. 5)
Time and cost: 1 day, UYU 988,429.28 (4% of cadastral value)
Public deed is recorded in the name of the buyer at the Real Estate Office
Agency: Real Estate Registry (Registro de la Propiedad Inmueble)
The public deed is delivered to The Real Estate Registry (Registro de la Propiedad Inmueble) for its recording under the name of the buyer. After the process is over, the buyer must communicate to the Public Offices Services the change of owner (water, light, gas, telephone, etc.)
Time and cost: 30 days, UYU 2,530 (The cost for recording the deed is UYU 2,530)
