Hardly any register is as important to property owners, and at the same time as little known, as the Land Register (Grundbuch). It determines who owns a plot of land, which rights encumber it and whether a purchase becomes legally effective at all. Anyone who owns, buys, sells or bequeaths a property always operates within the framework of this official register. As an estate agency on the Königsallee, we have been advising owner families in Düsseldorf and throughout North Rhine-Westphalia (NRW) for more than 60 years. In this guide we explain to you clearly what the Land Register actually is, how it is structured, why you can rely on its entries and how rights are entered, amended or deleted.
What is the Land Register (Grundbuch)?
The Land Register is an official, public register in which the legal relationships pertaining to plots of land are recorded. Above all, it records who owns a plot of land and which third-party rights, such as rights of residence or land charges, encumber it. In doing so, it creates the basis for secure property transactions: anyone buying, financing or bequeathing a house can rely on a dependable, state-maintained source.
The Land Register is maintained by the Land Registry (Grundbuchamt), which is attached to the local courts (Amtsgerichte). This follows from § 1 of the Land Register Code (Grundbuchordnung, GBO): the land registers are maintained by the local courts acting as land registries. The competent authority is in each case the local court in whose district the plot of land is situated. For a property in Düsseldorf, therefore, the Düsseldorf Land Registry is responsible.
It is important to distinguish between two areas of law: the Land Register Code (GBO) governs the procedure, that is, how the Land Register is maintained, who is granted access and how entries are made. The German Civil Code (Bürgerliches Gesetzbuch, BGB), in particular §§ 873 et seq., by contrast determines how rights to land arise and pass at all. The two sets of rules interlock and make the Land Register one of the most reliable registers known to German law.
How the Land Register is structured
A separate entry, known as a land register sheet (Grundbuchblatt), is maintained for each plot of land. Under § 3 GBO, each plot of land is allotted a special place in the Land Register, which is deemed to be the land register within the meaning of the statute. Several plots belonging to the same owner may be combined on a single, shared sheet.
Every land register sheet is divided up in a uniform manner throughout the country:
- The heading (Aufschrift) states the competent local court, the land register district as well as the volume and sheet number.
- The inventory (Bestandsverzeichnis) describes the plot of land itself, that is, its location, district (Gemarkung), parcel (Flur), individual parcel (Flurstück), size and type of use.
- Section I (Abteilung I) records the owner or owners and the basis of acquisition, for example conveyance (Auflassung) upon a purchase or succession on death.
- Section II (Abteilung II) contains encumbrances and restrictions such as rights of way and rights of residence, a usufruct (Nießbrauch), real charges (Reallasten) or priority notices.
- Section III (Abteilung III) lists the charges over land, that is, mortgages (Hypotheken) and land charges (Grundschulden).
This structure ensures that anyone reading a land register sheet immediately knows where to find which piece of information. A detailed explanation of the individual sections, and of how you can obtain a written reproduction of the sheet, can be found in our separate guide on the land register extract (Grundbuchauszug).
Public faith: why you can rely on the Land Register
The Land Register is not merely a record; it enjoys public faith (öffentlicher Glaube). This means that legal dealings may in principle rely on the entries being correct. Two provisions of the BGB underpin this trust.
§ 891 BGB establishes the presumption of correctness: if a right is entered in the Land Register for a person, that right is presumed to belong to them. Conversely, if a right has been deleted, it is presumed no longer to exist. This presumption applies as against everyone. It is, however, rebuttable: anyone claiming that the Land Register is incorrect must prove it.
§ 892 BGB goes a step further and makes possible acquisition in good faith. Anyone who acquires a right to a plot of land by legal transaction may rely on the contents of the Land Register. Even if the Land Register should be incorrect in a particular case, the good-faith acquirer can effectively acquire ownership or another right. Protection lapses only if the acquirer has positive knowledge of the incorrectness or if an objection (Widerspruch) to its correctness is entered. Mere carelessness is not harmful.
This public faith is the heart of legal certainty in property purchases in Germany. It is the reason why a careful examination of the land register entries is so valuable: what is recorded there carries weight.
The registration principle: how rights enter the Land Register (§ 873 BGB)
Under German law, the registration principle (Eintragungsgrundsatz) applies to land. This means that ownership and other rights in rem to a plot of land neither arise nor pass by virtue of a contract alone, but only upon registration in the Land Register.
§ 873 BGB sets out two requirements for this, both of which must be met together:
- the agreement (Einigung) between the previous holder of the right and the acquirer regarding the change of right. In the case of the transfer of ownership of a plot of land, this agreement is called conveyance (Auflassung).
- the registration (Eintragung) of the change of right in the Land Register.
Only once both are present is the new owner also the legal owner. This explains a point that surprises many buyers: by signing the notarised contract of sale you are not yet the owner. You become the owner only upon registration in the Land Register, which takes place some weeks later.
Behind this lies what is known as the principle of separation (Trennungsprinzip). The contract of sale is the obligation under the law of obligations; the transfer of ownership by conveyance and registration is the separate transaction under property law. In a property purchase, both are accompanied by a notary so that everything proceeds correctly and in the right order.
Who initiates entries: application, consent and the notary
The Land Registry does not act of its own accord. Under § 13 GBO, entries are as a rule made only upon application (Antrag). The person entitled to apply is the one whose right is affected by the entry or in whose favour it is to be made.
To this is added the principle of consent (Bewilligungsprinzip) under § 19 GBO: an entry is generally made only if the person whose right is affected by it consents (bewilligt). Anyone who thereby loses a right or sees it encumbered must agree to it. This consent is a declaration addressed to the Land Registry.
The notary plays a central role here. Contracts for the sale of land and the conveyance must be notarially recorded. In practice, the notary then handles the processing with the Land Registry: they file the applications, transmit the necessary consents and supporting documents and monitor the correct sequence of entries. For you as buyer or seller this means considerable security, because the entire process runs through a neutral body that is bound by law.
Note should also be taken of prior registration (Voreintragung) under § 39 GBO: an entry for or against a party generally requires that this party has previously been entered as the holder of the right in the Land Register. This secures an unbroken chain of legal succession. Important exceptions exist, among other things, for succession on death.
Correction and deletion: when something changes
The Land Register is intended to reflect the true legal position. If an entry and reality should at any point fail to match, the law provides ways of bringing the Land Register back into accord.
§ 894 BGB governs the correction of the Land Register (Grundbuchberichtigung). If the Land Register is incorrect, the person whose right is thereby impaired may demand from the registered holder of record their consent to the correction. A classic case is succession on death: after the death of the owner, Section I is no longer correct, and the heirs have the Land Register corrected into their names, for example by producing a certificate of inheritance (Erbschein).
The deletion (Löschung) of a registered right is governed by § 875 BGB. What is required is the declaration of the holder that they relinquish their right, and the deletion in the Land Register. In this way, for instance, a land charge is deleted once the associated loan has been repaid. In practice, the bank issues a consent to deletion (Löschungsbewilligung) on the basis of which the Land Registry removes the entry.
This plays an important role particularly when selling a property. Frequently, Section III still shows land charges whose loan has long since been repaid. When we look after your property, we examine the land register entries together with you at an early stage and clarify any open points. In this way it can be prepared in good time for a buyer to take over the property free of encumbrances.
The Land Register in the purchase and sale of your property
Whether you are buying or selling: the Land Register is present at every stage. Before the sale it provides information about ownership and encumbrances. During the processing, a priority notice of conveyance (Auflassungsvormerkung) in Section II protects the buyer until they themselves are entered as owner. And with the final entry in Section I, ownership passes effectively.
For owners, the Land Register is therefore more than a formality. It is worthwhile to know at an early stage what is entered there:
- When selling: are the ownership relationships correct? Are there still old land charges, rights of residence or a usufruct entered that need to be clarified?
- When buying: who is the registered owner, what third-party rights exist and with what rank do the encumbrances stand in the Land Register?
- In the case of inheritance and gift: is a correction of the Land Register necessary, and what supporting documents are required for it?
As a Düsseldorf estate agency with more than 60 years of experience, we examine these entries together with you in every purchase and sale and check them carefully. In this way, your plans and any prospective contract stand on a sound legal footing from the outset, and you always know where you stand.
