Problematic land ownership to be addressed by new registration system

The registered owner in a proposed title register system will be recognized as the true owner to simplify and hasten the property transaction process for newly granted land under an amendment bill to the Land Titles Ordinance, the Development Bureau says.

The title registration system will provide certainty of property ownership, so that owners will not be required to keep previous title documents to verify their ownership and the conveying process of properties can be confirmed by checking the Title Register rather than a solicitor thoroughly checking the title each time.

A bureau spokesman said "new land" will be defined as land held under a government lease granted on or after the Land Titles Ordinance comes into operation.

This will include land granted by the government by way of land sale, private treaty grant and land exchange.

The core principle of the system is that title is "indefeasible" and it is considered that property buyers who have paid real money and are in possession of the property should have legal protection, the spokesman said.

“Even if the seller loses the title due to suspect fraud involving a third party, the title will also be indefeasible and the unwitting former owner who fails to recover the property will be entitled to compensation under the Indemnity Fund.”

The bureau aims to introduce the amendment bill at the Legislative Coucnil in March, and the six pieces of subsidiary legislation next year under the negative vetting procedure if the bill is passed within this year.

But there is yet to be a timetable for the conversion of 2.9 million existing sites on the Land Register, and the bureau hopes to start discussion with stakeholders after the implementation of the “New Land First” proposal in the first half of 2027.

A few thousand problematic registers are estimated of existing land involving broken title chains and multiple registers.

Lawmaker Edward Lau Kwok-fan expressed concerns about the conversion of existing land, suggesting a voluntary conversion option so that title holders could voluntarily convert to the new title register system by submitting an application to the government and obtaining a title certificate after vetting, thereby safeguarding the titles in their own names.

(Stacy Shi)