Can you change the name of a land certificate without AJB? Check out the full explanation here!

Can you change the name of a land certificate without AJB? Check out the full explanation here!

In buying a property, be it a house or land, after an agreement is reached, a letter of sale and purchase is usually made between the seller and the buyer as a sign of completion. If there are no problems in the file, the land certificate must be reversed for transfer of ownership.

Generally, an AJB or Sale and Purchase Deed made through PPAT is required. But, can the process of changing the name of a land certificate without AJB only use a letter of sale and purchase?
get the following full explanation:

.Can you change the name of a land certificate without AJB?
AJB Management Requirements at PPAT
Requirements for Renaming Certificates at BPN
Certificate Transfer Procedure
Mistakes to Avoid During the Land Buying Process

Can you change the name of a land certificate without AJB?
It is impossible to change the name of a land certificate without AJB. For a clearer understanding of this issue, consider the case examples below:

Mr. Nuroso bought a plot of land/building with an area of ​​119 square meters from Mrs. Yenne and made a sale and purchase agreement. The problem is, Mr. Nuroso has not been able to transfer the name of the certificate because the letter is still in the hands of Mrs. Yenne.

In the decision of the case, the Panel of Judges considered the sale and purchase agreement valid because it had been agreed by both parties and Pak Nuroso was deemed to have the right to control the land/building. According to the rules, Mr. Nuroso should have changed the name of the certificate so that the land tenure rights turned into ownership rights.

However, changing the name of a land certificate without an AJB is impossible because based on the Civil Code regulations, AJB is a valid authentic deed for the transfer of land and buildings.
Meanwhile, to make an AJB in PPAT, it requires an original land certificate and the presence of two parties, namely the seller and the buyer. Another problem is that the condition of the land being sold is not known whether it is problematic and is a joint property.

If the property is joint, then the sale must be through the agreement of both parties (husband and wife). So until the end, Pak Nuroso could not own the land because there had not been a legal transfer process.

From the example above, it can be concluded that AJB’s position is very important in the buying and selling process so that it is considered legal in the eyes of the law. For buyers, please be careful of the status of the certificate and do not pay off the payment without being given the original certificate. If you are a layman, you can ask for help from a notary & PPAT to help check files and be a witness to the transaction.

Well, now you know the answer about whether you can change the name of a land certificate without AJB. If you are intending to buy land or property, make sure all documents such as certificates have been taken care of properly and according to applicable regulations. Check out the list of houses for sale under IDR 700 million in the Parung area here!

AJB Management Requirements at PPAT

Deed of Sale and Purchase (AJB) is valid authentic evidence for the transfer of land and buildings. The existence of AJB cannot be replaced in the buying and selling process because it guarantees the legality of your transactions. To make it, there are several requirements for land and individual documents that must be completed, including:

Land Data

Land and Building Tax (PBB) for the last 5 years accompanied by a Deposit Receipt (STTS)
Original Land Certificate
Building Permit
Proof of Payment for Electricity, Telephone, and Water Accounts
Letter of Roya from the Bank (If still a mortgage)

Seller and Buyer Data

Photocopy of KTP of husband and wife (if married)
Copy of KK
Photocopy of Marriage Certificate
Certificate of Indonesian citizen or change of name (for Indonesian citizens of descent if any)

After completing the data above, there are several points that must be done:

Check the authenticity of the certificate to BPN (can be assisted by PPAT)
The seller pays income tax (PPh) of 5% of the transaction price
Seller pays Sales and Purchase Tax
The seller provides a statement if the land/house owned is not in dispute.

Requirements for Renaming Certificates at BPN
Example of original land certificate.
After the AJB management process is complete, you should immediately take care of the certificate transfer process in order to convert AJB into SHM or HGU. In addition to going through PPAT, you can take care of your own transfer of the name of the land certificate to the local BPN office.
According to the official website of the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN), here are the requirements for the title transfer certificate that you must fulfill:

Application form that has been filled and signed by the applicant or his/her proxy on sufficient stamp duty
Power of attorney if authorized
Photocopy of the identity of the applicant/holder and recipient of rights (KTP, KK) and the power of attorney if authorized, which has been matched with the original by the counter officer
Original certificate
For individuals whose civil law is subject to civil law, it is proven by a court order. Or those who are subject to customary law are proven by a statement letter of change of name from the person concerned, known to the local Village Head/Lurah and Camat.
Proof of land acquisition/Place of Rights
The applicant’s statement letter regarding the number of plots and the status of the lands that have been owned
Photocopy of the current year’s PBB SPPT which has been matched with the original by the counter staff
Proof of payment of SSB (BPHTB) and proof of payment of income (at the time of registration of rights)
Attach proof of SSP/PPh in accordance with the provisions

The fee set for this process is IDR 50 thousand. This amount is only the registration fee. Meanwhile, the cost of land measurement and inspection depends on the area, use and location of the land.

Certificate Transfer Procedure

Now you know the requirements for changing the name of the land certificate. There are 2 steps involved in the procedure:

1. Management of AJB to PPAT
In accordance with Government Regulation Number 24 of 1997 concerning Land Registration Article 37, it is stated that every processing of land certificates must go through PPAT. In PPAT you have to take care of AJB so that the buying and selling transactions are legalized by the state. The Sale and Purchase Deed (AJB) itself is valid authentic evidence for the transfer of land and buildings.
Furthermore, the PPAT will check the suitability of the juridical and technical data of the old owner’s land certificate with the land data in the land book of the BPN office. This process is very important so that in the future you avoid land disputes or unauthorized buying and selling.
If no problems are found on the land, then according to PP No. 34/2016, PPAT will ask you as a buyer to pay income tax of 2.5% of the value of land sales (gross).

For other costs, such as checking and issuing AJB, the notary office applies their respective rates. Usually the PPAT office charges about 0.5-1% of the total transaction value. In addition to these two fees, you are also required to pay the Land and Building Rights Acquisition Fee (BPHTB) of 5% of the price of the house and land minus the Acquired Value of Non-Taxable Tax Objects (NJOPTKP).

2. Transfer of Names to the BPN Office
You can immediately bring AJB that has been taken care of to BPN to be renamed so that its status changes to a Certificate of Ownership (SHM) or Hak Guna Usaha (HGU). You can take care of it yourself or submit it to PPAT by paying a management fee.

But remember, before coming to the local BPN office, make sure you understand the file requirements and complete them. We also recommend checking the local BPN official website because some branches apply online registration. If you come straight away without checking the conditions, you will not be served and go home empty-handed.

If you have successfully registered, please follow the existing procedures and wait for the name transfer process for approximately 5 working days. However, the length of your management depends on the completeness of the documents.

Mistakes to Avoid During the Land Buying Process
Giving a down payment without a certificate check is one of the fatal mistakes in buying property.
There are many things to consider when buying land or a second-hand house. Don’t be in a hurry, a little mistake can cost you a lot. It is better to avoid the following mistakes in buying and selling land/houses:

Tempted by Cheap Prices

Don’t be easily tempted by cheap land/house prices. Usually land/houses that are sold below the market price have shortcomings such as documents or certificates that have not been renamed from inheritance, etc

Hurry up in Transactions

For those of you who are buying assets for the first time, you should first study the documents that the seller must have. Don’t let it be that after giving the down payment, you will realize that there is an incomplete certificate/still a guarantee. Also, don’t stick to just one location. Find some houses/land you want and make comparisons.

Taking Management Procesa Document Can Do It Yourself

In the process of buying and selling land/houses, the costs incurred to pay taxes are indeed quite large. To save money, some people think that all files can be taken care of by themselves. In fact, you will go through a lot of difficult bureaucracy that you have never been through before and spend a lot of time. So in the end you still need expert help to manage files like AJB.

Too Trusting Broker

Land brokers/brokers are tasked with bringing together buyers and sellers. However, the transactions that occur do not go through a broker. So don’t trust unscrupulous realtors who ask you to give some money.

Not Paying Attention to Environmental Factors

Environmental factors are very important in buying a used house, especially with a mortgage scheme. Many banks apply several conditions, such as a residential location that must be free from flooding, equipped with road access for cars, and not near the Extra High Voltage Air Line (SUTET) tower. So when choosing a house, make sure the environment is safe and not polluted.
Through the discussion above, I hope you are wiser and careful in buying housing. Always make sure the certificate is complete and not disputed so that there are no problems in the future.