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Focus area · Property purchase

Land register & encumbrances.

Anyone buying real property only acquires ownership upon registration in the land register. We show how the register is structured, which encumbrances in the C-sheet take effect and how a transfer free of encumbrances is secured.

BRANDAUER Rechtsanwälte
Your law firm

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.

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The land register is the public record of real property and the rights attaching to it. The main book divides each registration into three sheets: the A-sheet with the property, the registration number and the land parcels, the B-sheet with the ownership, and the C-sheet with the encumbrances. The collection of deeds holds the underlying contracts and declarations.

For a purchase the decisive point is this: ownership of real property only passes upon registration, not already on signing the purchase contract (registration principle, section 4 GBG). The registration principle, the principle of good-faith reliance and the priority principle apply: whoever ranks first prevails. A declaration of consent to registration, the express authorisation of the entry, is a precondition of registration.

This page orders the structure of the land register, the path to ownership and the encumbrances in the C-sheet. The guide below helps you assess your situation, but does not replace an examination of the individual case.

Assess your register status

Where do you stand on ownership and encumbrances?

Answer one or two questions about registration and encumbrances. You will receive a first, non-binding assessment of your situation.

Already know you want to get in touch? Go straight to the enquiry form.

01 Question 1

Are you already registered as owner in the land register?

In Austria ownership of real property only passes upon registration in the land register (registration principle, section 4 GBG). The signed purchase contract alone does not yet confer ownership.

All paths at a glance

Overview of all answers.

01

With registration, ownership has passed to you. Check the status of the C-sheet.

If you are already registered, ownership has passed to you under section 4 GBG. What now matters is whether the property was actually taken over free of encumbrances or only with the agreed ones. A current land register extract shows whether agreed deletions of mortgage liens in the C-sheet have already been carried out.

If entries do not match the purchase contract, for example because a promised discharge is missing, you should have the handling checked promptly. The rank and sequence of registrations are often decisive in the individual case.

02

Registered encumbrances bind you. Clarify discharge and escrow handling.

Encumbrances registered in the C-sheet, such as a mortgage lien (sections 447 ff ABGB) or an easement (sections 472 ff ABGB), generally bind every purchaser. If the property is to pass free of encumbrances, deletion declarations from the creditors are required. Escrow handling ensures that the purchase price is only released against registration free of encumbrances.

A prohibition on encumbrance and disposal (section 364c ABGB) or a right of first refusal (section 1072 ABGB) may even prevent or delay the acquisition. Have the register status and the sequence of steps checked early.

03

Without a current extract the encumbrance status is open. Obtain a land register extract first.

As long as you do not know a current land register extract, it cannot be assessed whether the property is free of encumbrances. The A-sheet shows the property and its land parcels, the B-sheet the ownership, the C-sheet the encumbrances. Only the complete extract together with the collection of deeds gives a reliable picture.

To guard against intervening registrations, a priority ranking note for the intended disposal under section 53 GBG can be used; it is valid for one year. Have the register status checked before you sign.

The encumbrances in the C-sheet

Mortgage lien, easement, real charge, prohibition and right of first refusal

The C-sheet records the encumbrances on a property. Each encumbrance generally binds every purchaser and calls for its own treatment in the purchase contract.

Types of encumbrance in the C-sheet of the land register and their meaning for a buyer
Type of encumbrance Meaning What to do on purchase
C-sheet Mortgage lien Charges the property for a monetary claim (sections 447 ff ABGB) Request the creditor's deletion declaration, secure repayment via escrow
C-sheet Easement (servitude) A third party's right of use, such as a right of way or residence (sections 472 ff ABGB) Check content and scope, plan for continuation after the purchase
C-sheet Real charge A recurring obligation arising from the property, such as a life annuity Assess the burden and reflect it in the purchase price
C-sheet Prohibition on encumbrance and disposal Prevents sale or encumbrance without consent (section 364c ABGB) Obtain the beneficiary's consent or clarify deletion
C-sheet Right of first refusal The beneficiary may buy first on the same terms (section 1072 ABGB) Offer to the beneficiary and await a waiver or exercise

Registered encumbrances generally bind every purchaser. The table offers an overview and does not replace an examination of the actual register status in the individual case.

A-, B- and C-sheet: the structure of the land register

The main book of the land register divides each property into three sheets. The A-sheet names the property, the registration number and the associated land parcels with their categories of use. The B-sheet shows the ownership, that is who is the owner and in what shares. The C-sheet, finally, records all encumbrances.

The main book is supplemented by the collection of deeds, in which the contracts, declarations and official decisions on which the entries are based are kept. Anyone buying a property should always obtain a current, complete extract covering all three sheets and inspect the relevant deeds.

Ownership only upon registration

Unlike with movable property, ownership of real property does not pass on the contract but only upon registration in the B-sheet (registration principle, section 4 GBG). Until then the buyer holds a contractual claim but is not yet the owner.

A precondition of registration is the declaration of consent to registration, that is the express authorisation of the entry by the seller's side. The registration principle, the principle of good-faith reliance and the priority principle apply: what matters is the rank in which a right is registered.

To guard against intervening registrations, a priority ranking note for the intended disposal under section 53 GBG serves. It reserves the rank for one year and protects the buyer's side from new encumbrances slipping in between contract and registration.

Discharge of encumbrances and escrow handling

If the property is to pass free of encumbrances, the burdens registered in the C-sheet must be deleted. For a mortgage lien this requires a deletion declaration or release receipt from the financing bank, which is only issued after the secured claim has been repaid.

So that payment of the purchase price and the discharge occur step by step, the purchase is usually handled through escrow: the purchase price is deposited in an escrow account and only released once registration free of encumbrances is secured. This ensures the correct sequence of steps.

Besides the cost of repayment, the acquisition incurs the registration fee of 1.1 per cent (GGG) and the real estate transfer tax of 3.5 per cent. These amounts should be factored into the calculation from the outset.

This page offers a general overview of the Austrian legal position (legal status June 2026) and does not replace advice in an individual case. The actual register status and the sequence of steps must always be examined separately in the individual case.

Frequent questions

Land register and encumbrances.

Am I already the owner once I have signed the purchase contract? +

No. In Austria ownership of real property only passes upon registration in the land register (section 4 GBG). The signed purchase contract initially gives only a contractual claim to transfer of ownership. Only the entry in the B-sheet makes you the owner.

What is in the C-sheet and why does it matter so much on a purchase? +

The C-sheet is the encumbrance sheet. It records mortgage liens, easements, real charges, a prohibition on encumbrance and disposal, and rights of first refusal. These encumbrances generally bind every purchaser. Before the purchase, therefore, a current extract should show whether and with what encumbrances the property is burdened.

How is it ensured that I receive the property free of encumbrances? +

For the encumbrances to be deleted, deletion declarations are obtained from the creditors. Escrow handling secures the sequence: the purchase price is only released once registration free of encumbrances is ensured. This way you do not pay before the discharge is secured.

What costs arise for registration in the land register? +

For registering ownership, the registration fee of 1.1 per cent of the assessment base arises (GGG). On top of this comes the real estate transfer tax of 3.5 per cent. Both amounts must be included in the total cost of the acquisition and should be calculated early.

In depth

Terms on this focus area

Land register

The structure of A-, B- and C-sheets, the collection of deeds and the guiding principles of registration.

Mortgage lien

How the mortgage charges the property and how a deletion declaration enables the discharge of encumbrances.

Easement

Rights of way, residence and other use by third parties and their continuation after the purchase of the property.
Related topics

This might also affect you.

Purchase contract review

Review the property purchase contract before signing: clauses, purchase price, registration clause, rights of withdrawal and hidden risks.

Escrow and purchase price

Secure handling of the purchase price through attorney escrow: escrow account, payout conditions and protection for buyer and seller.

Warranty and defects

Warranty when buying property, hidden defects, warranted qualities and dealing with clauses such as “bought as seen”.

Eyeing a property, register unclear?

In property purchase, register status and handling decide. Call us directly or write to us, with a callback within one business day.

+43 662 6280000 [email protected] Book initial consultation (72 euros)
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BRANDAUER Rechtsanwälte GmbH Giselakai 51 5020 Salzburg