Electronic Building Identity

23 February 2021 ©

The Electronic Building Identity (HTC) is the new legal requirement that came into force on January 1, 2021. Anyone who owns property in Greece will need to take action, if not immediately, but fairly soon.

• It's a very positive action helping to reassurer investors & buyers of Greek real estate.
• It will provide a comprehensive overview of the real estate stock of the country.
• And individual property owners will have their documents in one place under their control.
• It will considerably reduce the stress of transfer of ownership.

So, before Hydra's property owners throw their hands up in despair, don't! It's not that scary.

However, Hydra's homeowners must pay attention now. (Especially those hoping to sell, accept an inheritance or transfer ownership after March 1, 2021). Non-compliance in this latest phase of the Government's project to streamline property registration can get you fined and even a criminal record. You can no longer glibly say, 'my lawyer/accountant deals with everything'. Neither your lawyer nor accountant can get it for you. Only an authorised civil or architect-engineer can obtain the HTC. And you can't pass-the-buck to the engineer either because it is mandatory to have your updated hardcopy file on the actual premises (for spot checks).

Okay, maybe you're a little bit scared now, but I hope I have got your attention. Please read on.

The New Law

The Electronic Building Identity (HTC) came into force on January 1, 2021. Initially, its operation ran parallel with previous procedures to ensure a smooth transition to the new system for engineers and avoid delaying real estate transactions. The total switch over was supposed to be February 1, 2021, but system procedure problems pushed the date to March 1, 2021.

Reference: Law 4759/2020  -  Government Gazette Issue A '245 / 09.12.2020

What is it?

The HTC is defined as the file that contains the details of the property and a special reference to the Code Number of the National Land Registry (KAEK) of the property.

Only an authorised civil or architect-engineer can create and submit the file to obtain the HTC.

The owner's responsibility is to keep an up-to-date copy of the file in a secure place inside the building. 

The purpose of the HTC is to capture the current condition of the building and its permits and monitor and control its changes during the property's lifetime.

The authorised civil or architect-engineer obtains or supplies all the building-related documents required. (The full structural history of the building in one file.) Then, the HTC is issued and associated with the property, not the owner. 

• It stays with the property irrespective of the owner. (There might be four owners on the title, but only one HCT for the property)
• It must be kept up-to-date at all times. So if you obtain a building permit to extend or alter the property, you (the owner) must instruct an engineer to append it to the file and submit it online to update the HTC.
• From March 1, 2021, if you sell, inherit or transfer ownership, a new HCT must be completed. (To prove everything is up-to-date).
• Even though the number is generated online, the current owner of the property is required to have a hardcopy of the ID and the file. It must be kept on the premises to which it relates (for periodic inspections).

When should it be updated

• Whenever building work or alteration is made, including changes to electricity or plumbing
• Whenever the property changes hands
• Whenever a spot check is carried out

How much does it cost

The engineer will charge for compiling the file. This will depend on how much work the engineer will have to do if discrepancies need to be corrected before the file can be completed. I cannot speak for any engineer. You will have to ask for a quote. However, registering the file online to get the actual HTC number does not cost the engineer anything.

How Do You Obtain an HTC

In effect, the HCT is an extension of work that professional civil and architect-engineers already do for their clients. And only an engineer can do the work.

• The Energy Certificate and the Mechanical Verification Certificate are no longer needed as separate documents because the new reporting procedure incorporates this information. The final file will include:
• The topographical plans
• Plans showing all rooms with detailed measurements
• Copies of building permits
• Copies of plans associated with permits
• Finished building approval certificates
• Legality of the site
• Energy efficiency
• Static adequacy
• Electromechanical equipment
• Plus more!

So the engineer is required to perform a substantial and all-encompassing survey. When they are satisfied with everything, the engineer can issue a 'Completion Certificate' with their declaration and then obtain the HCT. 

Implications

The original intention was for this law to be 'actionable' within five years across all property types. However, this changed more or less immediately. Instead, commercial, public, institutional properties and larger touristic venues, etc., have five years to obtain their HTC. But for residential apartments and houses, the HTC must be obtained before any transfer of the property after March 1, 2021.

So if you have no intention of selling your Hydra house, aren't likely to be accepting an inheritance and have no inclination to transfer your property to your kids any time soon ... well then, you don't have to be stressed about this just yet.

But, for those owners who are actively advertising their property for sale, etc., then you will need to take action now. You won't be able to go to contract without an HTC after March 1, 2021.

At the moment, the engineers and public notaries of Hydra are up to their eyes in a flurry of 'cases'. They are trying to complete them before the new procedure is mandatory at the end of February. So approaching them for a 'rush job' in the next week just isn't going to happen!

Because the procedures are new, there is a learning curve, and engineers need a settling period. Also, their work is virtually double and will take longer. So I am estimating that engineers will need at least four weeks if the property is legal. If there are any 'discrepancies', it is likely to take a lot longer and cost a lot more.

Any engineer who submits incorrect information or documents that do not reflect the property's true condition will be fined between €2,000 - €20,000 and will face legal action.

If building work or alteration without a permit is carried out, and the HTC is not updated, the property owner will be fined. Similarly, if a spot check is made, owners may face fines if the HTC file is not on the premises.

There is considerably more to this new law than I have outlined here. Please speak to your architect or engineer to clarify exactly what needs to be done for your specific property.

I won't be surprised if it becomes mandatory for all property to have its HCT by 2026. It's far less stressful if you can get it sorted before it's vital!