LAND CERTIFICATE VERIFICATION

Category: Conveyancing Services
Written by Riska Destriyanti on 18/05/2022
The author’s views are entirely their own and may not always reflect the views of Putranto Alliance.

When owning land or buildings, we must make a certificate for that land or building because the certificate is a written or printed sign or statement (statement) from an authorized person that can be used as proof of ownership or an event. A land certificate is a perfect proof of ownership because it contains physical and juridical data issued by the authorized institution or agency.

If the land or buildings that we own want to be transferred or used as a guarantee at the Bank, the first step that must be taken is to verify the certificate. Verification of this certificate is needed to determine whether the land or building to be transferred or used as a guarantee is clean and not disputed.

LAND RIGHTS IN INDONESIA

The land rights in Indonesia are as follows:

  1. Freehold Estate;
  2. Right of Building;
  3. Right of Use;
  4. Right to Cultivate;
  5. Hak Sewa / Lease Rights;
  6. Hak Memungut Hasil Hutan / The Right to Collect Forest Products; and
  7. Hak Membuka Tanah / Land Clearing Rights.

Earth, water, and space, including the natural resources contained therein, are at the highest level controlled by the state, as an organization of power for all the people.

The State’s Right to Control gives the authority to:

  • Regulate and administer the designation, use, supply, and maintenance of earth, water, and space;
  • Establish and regulate the legal relationship between humans and the earth, water, and space; and
  • Determine and regulate legal relations between people and legal actions regarding the earth, water, and space.

Based on the right to control the state, it is determined that there are various rights to the surface of the earth called land, which can be granted and owned by people, either alone or together with other people and legal entities.

  1. Freehold Estate:

    Freehold Estate is hereditary, strongest and fullest rights that people can have on land. This right can be transferred and transferred to another party.

  2. Right of Building:

    Right of Building is the right to construct and own a building on land that is not owned by another person. The right of Building can be granted for a maximum period of 30 years and can be extended for a maximum of 20 years.

  3. Right of Use:

    Right of Use is the right to use or collect proceeds from land directly controlled by the state or land owned by other people. The right of use can be granted for a maximum period of 25 years and can be extended for a maximum of 20 years.

  4. Right to Cultivate:

    Right to Cultivate is the right to cultivate land which is directly controlled by the State and to carry out businesses such as fisheries, agriculture, or animal husbandry. Cultivation rights can be granted for a maximum period of 25 years for individuals and a maximum of 35 years for companies.

  5. Hak Sewa / Lease Rights:

    Hak Sewa is the right of a person or legal entity, when using land belonging to another person for building purposes, by paying the owner a certain amount of money as rent.

  6. Hak Memungut Hasil Hutan / The Right to Collect Forest Products and Hak Membuka Tanah / Land Clearing Rights :

    Hak Memungut Hasil Hutan dan Hak Membuka Tanah is the right to utilize the resources in the forest and the right to use and open the forest areas for all Indonesian citizens.

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LAND OWNERSHIP IN INDONESIA

Indonesian citizens are the owners of all land rights in Indonesia. However, the government also regulates that legal entities can own and/or use land rights in Indonesia. Not only that, but foreigners can also use land rights in Indonesia.

  1. Freehold Estate:

    Freehold Estate can only be owned by Indonesian citizens. Foreigners who have property rights due to marriage, inheritance, grants, wills, and other actions must relinquish their land rights within 1 year after obtaining these rights or relinquishing their citizenship. If the foreigner does not relinquish his land rights, the land will fall into the hands of the state.

  2. Right of Building:

    Right to Building can be owned by Indonesian citizens and legal entities established under Indonesian law and domiciled in Indonesia. A person or legal entity that has the Right to Building but no longer fulfills the requirements, must relinquish or transfer their land rights to other parties within one year.

  3. Right of Use:

    Right of Use can be owned by:
    • Indonesian citizens;
    • Foreigner domiciled in Indonesia;
    • A legal entity established under Indonesian law and domiciled in Indonesia; and
    • Foreign legal entity with representatives in Indonesia.

  4. Right to Cultivate:

    The right to Cultivate can be owned by Indonesian citizens and legal entities established under Indonesian law and domiciled in Indonesia. A person or legal entity that has the Right to Cultivate but no longer fulfills the requirements, must relinquish or transfer their land rights to other parties within one year.

  5. Hak Sewa / Lease Rights:

    Hak Sewa can be used by:
    • Indonesian citizens;
    • Foreigner domiciled in Indonesia;
    • A legal entity established under Indonesian law and domiciled in Indonesia; and
    • Foreign legal entity with representatives in Indonesia.

WHY DO YOU NEED TO VERIFY YOUR LAND CERTIFICATE?

Verification of this certificate serves to find out whether the land is being disputed or not or the certificate is being encumbered with mortgage right.

Certificate verification aims to avoid things that can harm the buyer and/or bank and provide legal protection so that land disputes do not occur in the future.

Certificate verification is the first and most important stage before transferring and/or binding credit at the Bank.

The results of certificate verification can be in the form of:

  1. The land is clean and the BPN affixes the words "Checked and recorded according to the register at the Land Office"; and
  2. Land that is being guaranteed to another bank or disputed land or there are other records in the land book, BPN will issue a Land Registration Certificate (SKPT) explaining the recording.

If the land certificate is clean, then the transfer and/or binding credit process at the Bank can be continued to the next stage. However, if after verification the land certificate is pledged at the Bank or in dispute, the transfer and/or binding credit process at the Bank cannot be carried out.

For this reason, verification of certificate is very important, so buyers and/or debtors do not feel disadvantaged by sellers and/or creditors as well as legal protection for buyers and/or debtors.

WHEN DO YOU NEED TO VERIFY YOUR LAND CERTIFICATE?

Certificate verification is carried out prior to the transfer, and/or binding credit process at the Bank. Verification of this certificate is very important, and must be carried out before the process of transferring and/or binding credit is carried out, so that the process can run smoothly.

Verification of this certificate will be submitted by the Conveyancer (PPAT) after the landowner provides land documents and supporting documents. PPAT will verify the certificate online through the website provided by the Ministry of ATR/BPN and submit it to the National Land Agency (BPN) according to the size of the land.

The Ministry of ATR/BPN makes it easy for landowners by providing Sentuh Tanahku application. The landowner can see the status of the files that have been submitted by PPAT to the local BPN. Where landowner can use the application for:

  1. Checking the land file status;
  2. See the location of land;
  3. Coordinate checking;
  4. Land information service;
  5. Announcement;
  6. Submission of lost certificates; and
  7. Taking the queue number.

For now, certificate verification cannot be done through the Sentuh Tanahku application, it can only be submitted on the website provided by the Ministry of ATR/BPN, and only PPAT can access and apply for certificate verification through the website.

The landowner can only check the files that have been submitted by PPAT using the Sentuh Tanahku application. The landowner can see the status of the submitted files, by entering:

  1. BPN office for land area;
  2. Certificate Verification File Number;
  3. Year Certificate Verification File; and
  4. Certificate Verification File PIN.

The landowner can request the above documents from PPAT, to be able to check the status of these documents. With the Sentuh Tanahku application, the landowner can find out how far the certificate process has been carried out.

After certificate verification is completed, and the results of the certificate verification are issued by the local BPN, the transfer and/or binding credit process can be continued.

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HOW CAN WE HELP

The landowner can request the above documents from PPAT, to be able to check the status of these documents. With the Sentuh Tanahku application, the landowner can find out how far the certificate process has been carried out.

After certificate verification is completed, and the results of the certificate verification are issued by the local BPN, the transfer and/or binding credit process can be continued.

FAQs

Documents that need to be completed by the landowner are: Original certificate, Copy of owner’s ID Card, Copy of owner’s Family Card, and Copy of SPPT PBB.

Sentuh Tanahku application issued by the Ministry of ATR/BPN can only be used to check the submitted files, check the location of the land, etc. Land certificate verification can only be submitted by PPAT in the area where the land is located.

The certificate verification process and the transfer of land and/or buildings must be carried out by PPAT following the area where the land is located. So if the land is located in South Jakarta, then the PPAT that can process the certificate verification and transfer of the land and/or building is the PPAT in South Jakarta.

If the certificate verification exceeds the estimated time limit that we have notified, then we will inform and explain what the problem is and we will solve it as soon as possible.

Thank you for sharing

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