Completion Time Frame: 1 day
Completion Costs: COP 7,000
Points to Note:
A certificate with the history (at least 20 years) of the property (“Certificado de Tradición”) is obtained at the corresponding registry office.

Step 2: A certificate of existence of the company must be obtained at the Chamber of Commerce

Completion Time Frame: 1 day
Completion Costs: COP 3,200
Points to Note:
When the parties are companies, a certificate of existence and representation (“Certificado de Existencia y Representación de la Compañia”) of the company must be requested at the Chamber of Commerce. This certificate does not have an expiration date for its validity, but some entities, such banks or authorities, request for certificates issued with less than three months in order to obtain updated information.

Step 3: A study of the titles of the property is done by a lawyer

Completion Time Frame: 5 days
Completion Costs: COP 1,060,000
Points to Note:
A lawyer, usually external to the company, will make a study of the past titles of the property and about the history of the owners to carry out the transaction.
The study of the titles is not mandatory, but it takes place almost always for the transactions that follow these assumptions.

The documentation shall include:
The lawyer must be provided with the certificates obtained in Procedures 1 and 2 and with a copy of the company’s shareholders act authorizing its representative to act on their behalf.

Step 4: Pay for certificates that the property is up to date on tax payments at the Municipality

Completion Time Frame: 1 day
Completion Costs: COP 2000 each (x2)
Points to Note:
The parties pay at the cashier counter, then bring the receipt to obtain the certificates (procedure 5).

Step 5: Obtain certificates at the Municipality that the property is up to date on tax payments

Completion Time Frame: 1 day
Completion Costs: already paid in Step 4
Points to Note:
The buyer must obtain at the Municipality a certificate that all municipal taxes on the property have been paid (“Paz y Salvo Predial”) and that all taxes related to increases in the value of the property due to constructions, roads, etc. have been paid (“Paz y Salvo de Valorización”). More information on the procedure to obtain these documents can be found on the website of the Urban Development Institute, located within the Municipality: http://www.idu.gov.co/servicios/index.htm.

Step 6: A preliminary deed (“minuta”) is prepared by a lawyer

Completion Time Frame: 2 days
Completion Costs: COP 1,060,000
Points to Note:
The lawyer will prepare the preliminary version of the deed (“minuta”) that will be presented later to the notary. This is common only for these types of transactions.
The documentation shall include: certificates obtained in procedure 4.

Step 7: The notary prepares the public deed

Completion Time Frame: 8 days
Completion Costs: 0.27% of property value +16% VAT (for notary fees) + COP 7,120 for the escritura + COP 26,700 for copies of escritura + COP 3,300 to the Superintendency of the Notary + COP 3,300 to the National Fund of the Notary
Points to Note:
The notary public will prepare the final public deed with all the documentation previously obtained by the parties
The participation of a notary in the preparation of the public deed is mandatory by law, and his fees are also established by law (0.27% of property value + other indicated fees.)
A 16% VAT is also paid on the notary public’s fees.

Step 8: Pay registration fees at the bank counter in the registry

Completion Time Frame: 1 day
Completion Costs: 1% of property value (Registry Tax) + 0.5% of property value (Registration Fee)
Points to Note:
The “registry tax” or “Impuesto de Registro” can be paid at the registry office in the city of Bogotá and other large cities, where the commercial bank in charge of collection of this tax has installed a branch for this purpose. In smaller cities it will have to be paid prior to registration in a commercial bank. Despite its name, the “Impuesto de Registro” is a tax that goes to finance state-level programs on public health. It is not a fee for a service but a tax.

Step 9: The public deed must be registered at the Registry Office

Completion Time Frame: 3 days
Completion Costs: already paid in procedure 8
Points to Note:
After the “registry tax” is paid, the public deed prepared by the notary must be registered at the Registry Office for its validity. After registration, the new public deed is automatically sent (internal procedure) to the Office of the Cadastre to register the change of ownership.