Land share: how to register, ways of use and procedure for registering a lease

In Soviet times, the state owned and operated the land fund itself. Land for agricultural activities belonged to collective farms. Land reform gave people the right to become private landowners by registering a land share as personal property.

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It's fast and free! Today, about 50% of the land asset is allocated for shares and 95% of the owners have registered ownership.

What is a share of land

A land share is understood as a category of real estate provided to a specific entity from common land ownership. Moreover, it is not a land plot, but only provides the right to receive it in the designated amount. Shares are considered components of territories intended for general use, which are not allocated in kind.

After the landowner receives an allocated share within a specific territory, he can take ownership of it.

As a result, the person becomes the owner of the land plot, the boundaries and coordinates of which are established.

You can receive a share of land in various ways, each of which has a special procedure, and also requires a certain package of documents:

• allocation from common land ownership;
• purchase under a sales contract;
• registration by inheritance (based on a will or by law).

At the moment, the majority of persons who own shares have a certificate confirming the right to operate the property. The positive side of land shares is the right of a person to receive income expressed in agricultural products.

Shareholders have very profitable real estate and are entitled to:

• sale of such property at a certain price;
• exchange for another property;
• pledge of a land share or its contribution to the authorized capital upon joining a cooperative;
• transfer for operation under a lease agreement, as well as provision under a trust management agreement to any entities.

How to purchase

A share of a land plot can be purchased without carrying out the necessary work. It is enough to indicate in the contract the size of the share, information about encumbrances (if any), including the deadline for transferring the land share. The contract must be accompanied by a diagram of the plot of land, without marking the boundaries.

ATTENTION! It is most profitable to purchase a dedicated plot of land with already marked boundaries, its own plan and cadastral value.

You can receive an allotment in several ways:

1. Buy.
2. Receive an inheritance.
3. Receive as a gift.

There are situations when a person wishing to purchase shared land is not aware of its exact location. How to find out where the site is?

To find out the coordinates of the plot and its boundaries, you need to contact a cadastral specialist (engineer) at the location of the land plot. Based on data from the cadastral authority, he will accurately identify a plot of land with reference to its location.

Who can receive a land share

Land shares are provided to private owners and are intended for farming. At the same time, the territory itself remains in the status of a shared component of the common property. There are special categories of persons for whom shares are provided free of charge.

These categories include:

• having membership in collective and state farms;
• persons of retirement age working in the agricultural sector;
• employees of agricultural enterprises, as well as scholarship holders;
• persons living in villages.

The formation of the above categories occurs on the basis of local regulations, in accordance with the general principles of legislation and regional characteristics. Despite the fact that the allocation of land occurs free of charge, the costs of preparing the necessary papers are assumed and are borne by the future owner. The shares are transferred free of charge, but there is a land tax, as well as the need to pay for services related to the execution of cadastral work. Citizens who did not manage to privatize the land could not become owners of shares.

To carry out construction work on the territory, it is necessary to change the category of land. This will require substantial grounds.

How to allocate a land share from common shared ownership

To obtain the authority to dispose of land in full (donate, sell, bequeath), allocate a plot based on the allocated part of the common land ownership. The allocation procedure involves the formation of an independent part of the land, the disposal of which occurs separately.

A similar procedure is provided for the alienation of shares. The sale of property without allocating a share is allowed only between co-owners.

When making such transactions, notification of other co-owners is not required, since the right of first refusal in such circumstances is not applicable.

The formation of independent land ownership for its subsequent allocation occurs in accordance with the requirements of Article 13 of Federal Law No. 101-FZ of July 24, 2002, which speaks of the formation of a separate plot by allocating a part of the land into the ownership of a certain subject, in proportion to the share in the general land ownership.

Article 13 of the above Federal Law specifies two ways to allocate a new site:

• holding a general meeting by the co-owners and making an appropriate decision;
• an application for the provision of services by a cadastral engineer for the preparation of a boundary diagram.

The second option for allocating a share is considered the simplest and is characterized by the following:

• calling a specialist to develop a boundary diagram;
• presentation by the cadastral engineer of the draft scheme to interested parties for review and making amendments and comments. A period of one month has been established for this;
• if during the specified period none of the co-owners expressed disagreement with the project, it is considered that it has been approved;
• then the specified project is approved by the owner of the land share;
• approval of the survey project requires approval by the land committee, after which a cadastral plan of the site is prepared and the land is registered in the cadastral register with the assignment of a unique number;
• The procedure is completed by registering the right to the formed plot by the Rosreestr authorities. To do this, you need an established set of papers. At the end of the process, the owner is issued an extract from the Unified State Register for the new land plot.

Decor

ATTENTION! In order for shared land to be recognized as the property of its owner, it is necessary to undergo state registration.

To acquire the status of owner of a land share when purchasing it, you will need to draw up an agreement on the completed transaction . Next, you need to provide the registration authorities with the following documents:

1. Copy of the passport.
2. Consent of the spouse to conduct the transaction, which is notarized.
3. Authority to use the land share.
4. Statement.
5. A document confirming payment of the state duty.
6. Copies of notifications to other shareholders about the planned sale of the site, as well as confirmation of their sending.

After providing all the necessary papers, the Rosreestr employee issues a receipt indicating the list of documents received, the date and time of applying for documents that will establish the right to share land.

The next step will be to allocate a share of land in the area . For this purpose, an application is submitted to the management of the agricultural enterprise. The document indicates the size and location of the share. Then the area is surveyed. In general, the entire procedure for registering ownership rights to a share plot takes from 1 to 2 months.

How to register a land share as a property

To register ownership of property, you should understand the essence of each step of the procedure, each of which is characterized by special events. Almost all components of the process involve preparing proper documentation and appearing before the authorized authorities.

The process of providing shares for personal use is regulated by the norms of the Federal Law “On the Turnover of Agricultural Land”.

According to this legal act, to receive a share, carry out a number of such activities:

• Submit an advertisement in a printed publication for the provision of a share;
• organize a meeting of landowners;
• order land surveying work to establish land boundaries;
• visit the BTI and order a cadastral plan;
• Appear at Rosreestr to obtain an extract from the Unified State Register of Real Estate.

To obtain documentary evidence of rights to a land share, contact the Registration Chamber, which will examine the submitted documentation and report the decision.

There are also other ways of obtaining ownership of a share, determined by the method of transferring ownership of the object. In order to become the owner of the specified property, receive a paper that will confirm the corresponding rights. This can be done in accordance with the reasons established by the legislator.

How can a former collective farm (state farm) employee allocate the received share of land in kind?

Read here what to do with your land share.

Read about renting land for farming at the following link:

To obtain ownership of a property, you will need the following documentation:

• if a share is purchased – a purchase and sale agreement;
• when transferring a share within the framework of an inheritance case - a certificate of the right to inheritance.

In order to obtain detailed information on obtaining ownership of an agricultural land share, contact the registration authority at the location of the property.

Most often, land shares are purchased for subsequent exploitation or received by inheritance. When drawing up a contract for the purchase of such real estate, it is advisable to contact a notary office to have it certified.

After completing the above transaction, visit Rosreestr and register the resulting ownership of the acquired share. The registration procedure is completed within thirty days after submitting a set of documentation.

What it is

In Russia, such plots began to be allocated since 1991 in order to increase the number of private landowners. Land reform allowed many people to become owners of part of the land by registering it as their own property.

Many people are interested in the question of land share, what is it and what to do with it? A share does not refer to a plot of land with clear boundaries; it is only a right to a part of the land.

It has a size and a material assessment, but there is no identification of the site itself on the ground. Share lands can be provided for various purposes, but they are mainly intended for agricultural purposes . In this case, the interests of other shareholders must be taken into account.

Privatization of a land share into ownership is allowed. To obtain it, a certificate and the necessary cadastral documentation are drawn up, in the event that the owner of the share has decided to carry out the process of land surveying and allocating it for sale.

ATTENTION! Land plots can be sold, purchased, or rented out to generate passive income.

Documents for registering a land share in ownership

To register your right to a share of agricultural land, submit to the registration authority a package of papers consisting of:

• general passport;
• papers for a given property, displaying its technical characteristics; usually a cadastral passport is sufficient for this;
• copies of paper confirming that the other co-owners have no claims - for example, when purchasing land;
• document confirming payment of state duty;
• applications for state registration of property rights;
• documentation that confirms the authority to own the specified real estate - various civil contracts.

The entire package of required papers is subject to a mandatory legal examination, based on the results of which a decision is made on the possibility of registering the applicant’s right to this property.

How to dispose of the site

The owner of a share can dispose of it in many ways:

• sell the plot;
• exchange for other real estate;
• to rent;
• donate a plot or transfer it to heirs;
• give for use;
• pledge a share;
• use as authorized capital.

In most cases, the share is leased or transferred for trust use in order to receive a profit from it.

How to find a land share, watch this video:

Pros and cons of a land share

The main advantage of the site is the possibility of generating income. This can be money received both as a result of transactions and the sale of crops at market prices. It is also possible to make a profit from the plot in the form of agricultural products.

Among the disadvantages are mandatory taxation, dishonesty of tenants, possible tricks of landlords, small harvest or its complete loss, which entails losses.

According to the law, the state can forcibly seize agricultural lands that are not used for their intended purpose, are not legally registered, or have a number of violations.

How to register a land share as a property by inheritance

You can inherit a land share on the basis of law or a will. The first option involves the transfer of real estate to the legal successors of the testator in accordance with the rules on priority.

If there is a will executed by the deceased landowner, the property becomes the property of the heir designated at the disposal of the deceased.

Do not forget about the obligatory share in the inheritance, which is allocated to a certain category of heirs. This includes the descendants of the testator who have not reached the age of majority, disabled parents, as well as the spouse.

The hereditary succession of a land share has a special procedure; it differs from the procedure for inheriting other objects only in situations where it is not transferred as a share of the entire land ownership.

According to the provisions of domestic legislation, acceptance of an inheritance is possible only in relation to the entire inheritance mass. The heir does not have the right to receive only certain property that he needs. Inheritance of a land share occurs separately only if the testator does not have other objects, as well as if the deadline for accepting the inheritance is missed.

When inheriting real estate, first of all, go to the notary's office to submit an application for acceptance of the inheritance. For this purpose, the law allocates a six-month period after the death of the testator. If you miss the specified deadline, you will have to restore it in court.

To enter into inheritance rights to a land share, collect the following documentation:

• the original death certificate of the testator and its copy;
• papers proving family relations with the deceased (birth certificate, marriage certificate, certificate from the registry office about a change of surname, etc.);
• a copy of the court act confirming the presence of a family connection with the testator;
• if there is a testamentary disposition, the notary who certified this document must make a note that the will has not been canceled or changed;
• a document confirming the deceased's right to inherited property.

How to sell a land share

The purchase of a share of land is permitted only for agricultural activities of citizens and organizations.

In this case, the preemptive right to purchase is given to members of the cooperative to which land ownership is assigned, as well as to the agricultural enterprise created through the reorganization of the cooperative. The shares purchased by a legal entity become its property.

This property may subsequently be subject to collateral and may also be alienated. You can pay money for the purchased property either in a lump sum or in installments. The latter option, as a rule, involves a higher payment than when executing a lease agreement.

When purchasing a share on the basis of a purchase and sale agreement, remember that the general parameters of an agricultural plot owned by one farm or one employee of the enterprise should not exceed the maximum size provided for by regional regulations.

The norms of tax legislation establish that the alienation of shares obliges the payment of the corresponding tax. Taxation is carried out in the same manner as when transferring land for rent.

The only distinguishing feature in this case is the fact that the finances received by the alienator of the share are not taxed if they amounted to less than 5,000 minimum wages established in a particular subject of the state.

At the moment, the purchase of land shares is available to any person; you just need to find an alienator.

Before completing a real estate transaction, the following activities must be completed:

• contact the co-owners of the property with an offer to purchase the land;
• offer to buy out the share of the local authority, which is authorized to make a decision within a month.

If the co-owners refuse the proposal, you can proceed with the transaction. The sale price of the property should not be lower than that offered to co-owners or local authorities.

The execution of the agreement is allowed both in notarial form and in simple written form. The document must be signed by the parties to the transaction.

There is no need for mandatory notarization of such an agreement.

The text of the contract should display the following information:

• full names and passport details of the parties to the transaction;
• location and characteristics of the alienated object;
• details of share documentation and the date of its issue;
• an indication that the parties to the transaction are legally capable;
• sale price of land share;
• the fact that there are no claims by the parties.

Price

The cost may depend on various factors and parameters. If a share of land is purchased for construction work, then the main criterion that will determine the price of the share is the location of the site. If it is located outside the city, then its cost will be much higher.

If a share is purchased for further agricultural use, then the cost will be determined by the following factors:

• The total area of ​​the land plot.
• How fertile is the soil?
• Distance from infrastructure.

The average price of a share plot ranges from 50 to 250 thousand rubles per 1 hundred square meters. The shareholder has the right to sell his share at any established price.

It is important to consider one point.
By law, if the owner of a land share decides to carry out a transaction to sell it, he must notify the municipality about this, since he has a pre-emptive right to purchase.
The owner of the share must submit a written request to the local administration indicating the size of the share, its location, and cost. If this condition is not met, then all further transactions will be illegal.

If the municipality refuses the purchase or does not respond within three months, the share can be sold to others. In this case, the price of the object should not be less than what was indicated in the letter. Otherwise, a fine may be imposed on the owner or the transaction will be considered invalid.

Cost of land share

When transferring rights to a land share, take steps to independently evaluate it.

This is usually necessary in the following circumstances:

• in case of hereditary succession;
• when concluding a purchase and sale agreement or registering a deed of gift at a notary office.

In the above cases, a conclusion on the valuation of property is required to determine the amount of the notary fee and state duty. The real estate appraisal is completed at the time of the transaction. This requirement is mandatory due to the fact that tax legislation does not provide a strictly defined amount of state duty.

The actual value of a share of agricultural land is established only through an assessment by an expert.

To determine it, prepare the following papers:

• legal documentation for the share (certificate of land ownership or extract from the Unified State Register of Real Estate);
• cadastral plan;
• data on communications available within a given territory;
• boundary matter.

The real price of an agricultural land share can only be determined by an independent examination.

The algorithm for conducting assessment activities is provided for by special legal norms. The performance of such work refers to the activities of companies that have the appropriate license. The methods for determining value for these companies are the same.

The real estate valuation procedure ends with the preparation of an act accompanied by an explanatory note. When calculating the valuation of land ownership, experts take into account the characteristics of the property and indicators that influence the size of the market value of the property.

These indicators are considered:

• the location of the land relative to the main road;
• its location;
• terrain relief.

Climate and soil fertility indicators are also significant.

Tax on land share

The tax on land shares is determined on the basis of cadastral registration data. The obligation to pay it rests with the owner of the property. If the owner's powers are not officially registered, the corresponding cooperative is subject to taxation. In such circumstances, payment is set according to a percentage of the size of the real estate share.

The law establishes that the obligation to make tax payments rests with the owner of the share, regardless of the fact of its operation.

If alienation of land is not planned, it is advisable to lease this property in order to receive the sums of money established by the agreement.

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