Warning note in a real estate transaction
- Buying an apartment in Israel
- Taboo - Land Registry
More about Ashdod
I will return briefly to the example I gave above, according to which Avraham bought an apartment from Yitzhak, paid the price of the apartment, and even received a strong one.
Still, the registration has not yet been made in the registry office.
He is not protected enough in case it turns out that Isaac is bankrupt or a crook.
What will Avraham do to protect his rights in the period between the signing of the contract of sale and the date of registration of the apartment in his name in the Tabu, a period that takes at least several months?
During this period, he will register a ‘warning note’ in his favor in the Tabu to protect his rights in the interim period until the registration is completed.
Section 126 of the Real Estate Act explains that “it has been proven to the Registrar’s satisfaction that a landowner, or a tenant, a lender, a usufructuary, one with priority or a mortgagee, has undertaken in writing to make a transaction or to refrain from making a transaction, the Registrar shall, at the request of who has undertaken or whoever is entitled according to his commitment (hereinafter – the entitled), comment on this.
Although this is not absolute protection, since it does not have proprietary protections as in the registration, the protection is undoubtedly sufficient for the interim period and will be explained later.