Property alienation: a definition
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In legal practice, property alienation refers to the transfer of ownership of a real estate asset to a third party, whether an individual or a legal entity, for consideration in the case of a sale, or free of charge in the case of a gift. In other words, any operation whereby an owner is dispossessed of a property, whether voluntarily or involuntarily, is considered alienation. Moreover, a property is said to be inalienable when it cannot be transferred or sold.
What are the different types of property alienation?
There are several situations in which property alienation may occur:
- Sale: transfer of ownership in exchange for financial compensation
- Gift: transfer of ownership free of charge, often within a family context
- Inheritance: automatic transfer of the property to heirs upon the owner’s death
- Expropriation: alienation imposed by the State or a public authority for a public interest purpose, with compensation provided
What are the legal consequences of property alienation?
Property alienation results in the official change of ownership of the property. It involves:
- The signing of an authentic deed before a notary
- The registration of the new owner in the land register
- The settlement of certain tax obligations, such as the Swiss real estate gains tax in the case of a sale
Frequently asked questions about property alienation
Is property alienation always voluntary?
No. While a sale or donation results from a choice, expropriation is a form of alienation imposed by a public authority.
Does usufruct count as a form of alienation?
No. Usufruct only grants a temporary right of use or enjoyment of the property but does not constitute a transfer of ownership.
What protections exist in the event of expropriation?
In Switzerland, an expropriation must serve a public interest purpose and entitle the owner to fair compensation.
