What matters in the handover protocol for a house or apartment: transfer of possession, passing of risk, meter readings, keys, inventory, defects and warranty.
BRANDAUER Rechtsanwälte
Salzburg law firm for real estate, property and corporate law
Every matter is handled by a coordinated team of lawyers, legal staff and specialists. In property purchase matters we look at the contract, land register, escrow and tax consequences together.
The handover is the moment when the purchased house or apartment actually changes hands. With the transfer of possession you receive the keys and can use the property. At the same time, from this point the benefits, burdens and the risk of accidental loss pass to you. What looked good until then now becomes your responsibility.
This post shows why a handover protocol is so important and what belongs in it. The focus is on the passing of risk at handover, the documentation of meter readings, keys, condition and inventory, and the connection with the warranted characteristics and the warranty. The handover date and the takeover of supply contracts also play a role.
Anyone who prepares the handover carefully and records it in writing avoids later disputes about the condition or the consumption costs. From a lawyer perspective the protocol is often the only evidence of the condition the property was in at the time of handover.
Answer one or two questions on the handover date and the documentation. You receive an initial classification of the most important points.
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Handover usually takes place against payment of the remaining purchase price or after the escrow conditions are met. Otherwise you give up possession before payment is secured.
Without a clear link between handover and final payment you as seller give up possession before the money is secured, or you as buyer pay without receiving the apartment. Set the handover date in the contract and tie it to the final payment or to the fulfilment of the escrow conditions. Our checklist on handover and vacating offers guidance.
Only with a settled sequence can the handover be carried out without payment risk.
If the handover is tied to payment and a protocol is prepared, you are well placed. Record the meter readings for electricity, gas and water, document the keys handed over, the condition of the rooms and the inventory sold along. Note any defects found expressly and have the protocol signed by both sides.
A complete protocol secures the condition at the time of handover and supports later claims.
If a protocol is missing or defects or missing inventory appear, you should not complete the handover without documentation. Record the actual condition, the meter readings and every deviation from the warranted characteristics in writing. If the condition deviates from what was agreed, a warranty claim comes into consideration.
Have open points clarified before the keys change hands. What was signed and handed over can later only be corrected with difficulty.
The handover is legally the transfer of possession. Through it you gain actual control over the house or apartment, usually by the handover of the keys and the seller leaving the property. In Austria ownership only passes with registration in the land register, but possession already passes with the handover. You can read more about this term in the glossary on the transfer of possession.
With the handover the passing of risk occurs. From this point the benefits, burdens and the risk of accidental loss pass to you. If the property is damaged after handover, for example by a storm, the risk in principle falls on you as the buyer, even if ownership is not yet registered. You should therefore arrange your own insurance from the handover.
Because so much changes with the handover, the exact date should be governed in the contract. You find a deeper treatment on our focus page on handover and possession. Before the handover it is worth a look at the post on how to review the property purchase contract before signing.
The handover protocol documents the condition of the property at the time of handover. This includes the meter readings for electricity, gas and water, so that the consumption costs can be clearly separated between seller and buyer. Note the read values with the date and ideally with a photo of the meter.
Recorded too are the keys handed over with their number and type, the condition of the individual rooms as well as the existing inventory and everything sold along such as a fitted kitchen or certain furniture. Vacating is also important: the property should be handed over free of movable items, that is without items left behind by the seller, unless otherwise agreed. An overview is provided by our glossary on the handover protocol.
Defects found belong expressly in the protocol. Note every deviation from the agreed or expected condition as precisely as possible. Additional help is offered by our checklist on handover and vacating. The protocol should be signed by both sides so that it serves as evidence.
What the seller expressly promised in the contract or during the sales talks are warranted characteristics. If the condition at handover deviates from these, for example because a promised type of heating is missing or a certain area does not match, this can establish a defect. More on this in the glossary on the warranted characteristics.
If you find a defect at the handover, the precise documentation in the protocol is decisive. Defects of the property are covered by the warranty under the Austrian Civil Code. The period for immovable property is three years from handover. Especially with hidden defects the question is important whether the seller knew of a defect and concealed it. On this read the post on the warranty for hidden defects.
The protocol also delimits what arose before and what after the handover. Anyone who reports defects only after the keys change hands, without recording them in the protocol, has a harder time proving the condition at the time of handover. You should therefore sign nothing unchecked and take enough time for the inspection.
These points decide on the evidence position and the allocation of costs. Clarify each before you sign the protocol.
| Point | Recommended | Possible risk |
|---|---|---|
| Timing Handover against final payment | Possession only after secured payment or escrow | Giving up possession before secured payment |
| Meter readings Electricity, gas and water read | Values documented with date and photo | Later dispute over consumption costs |
| Keys Number and type noted | Complete handover confirmed in the protocol | An unclear number allows duplicate keys |
| Inventory Items sold along clearly listed | Condition of fitted kitchen and furniture recorded | Missing inventory stays undocumented |
| Defects Deviations described precisely | Defects found noted in the protocol | Later proof without documentation is difficult |
The warranty period for immovable property is three years from handover. A patchy protocol makes it harder to prove the condition at the time of handover.
Caution before the keys change hands: Do not sign a handover protocol that does not fully reflect the condition, the meter readings or the defects found. After the handover the condition on the reference date can only be proven with difficulty. Booking an initial consultation (72 euro) can quickly bring clarity before the handover.
With the handover the ongoing supply contracts should also be clarified. Electricity, gas, water, heating and, where applicable, internet often still run on the seller. Agree whether you take over existing contracts or conclude new ones, and report the read meter readings to the suppliers. This way consumption is cleanly separated at the time of handover.
Have all important documents handed over to you at the handover. These include the energy performance certificate, plans, operating manuals for technical installations as well as records of maintenance. Which obligations the seller has around the energy certificate is covered by the post on the seller obligations on the energy certificate and documents. We explain the term in the glossary on the energy performance certificate.
A first assessment of where the risks in your purchase lie is provided by the purchase contract risk check. Prepare the handover with our checklist on handover and vacating so that no point is forgotten.
The risk passes to you with the handover. From this point you bear the benefits, burdens and the risk of accidental loss, even if ownership only passes with registration in the land register. You should therefore arrange your own insurance for the property from the handover.
The protocol should contain the meter readings for electricity, gas and water, the keys handed over, the condition of the rooms, the inventory sold along and all defects found. Vacating, that is freedom from items left behind, should also be noted. The protocol should be signed by both sides.
If the condition at handover deviates from the warranted characteristics, this can establish a defect. Defects of the property are covered by the warranty under the Austrian Civil Code with a period of three years from handover. A precise documentation of the deviation in the protocol is decisive for later enforcement.
Our focus page on handover and possession with the central points.
How to proceed when hidden defects appear after the handover.
Which documents the seller must hand over to you at the handover.
What to watch already before signing, including the handover date.
When buying property, the contract and the land register decide. Call us directly or send an email, callback within one business day.
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BRANDAUER Rechtsanwälte GmbH Giselakai 51 5020 Salzburg
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