Power of Attorney Resumes for Real Estate Ownership Transfers

The transitional government’s Ministry of Justice issued Circular No. 15160 on September 24, addressed to the heads of judicial departments, public prosecutors, and notary offices in the provinces, to resume the documentation and certification procedures for notarial powers of attorney related to property ownership transfers.

The ministry had previously suspended the certification of such powers of attorney under Circular No. 23 on December 18, 2024. The aim at the time was to prevent individuals affiliated with the Assad regime from transferring or selling their properties.

The new Circular No. 15160 allows the documentation of notarial powers of attorney involving the transfer of real estate ownership through all types of transactions, such as sale and donation, in accordance with the regulations set out in the Ministry of Finance’s Circular No. 135, issued on July 30. This circular stipulated the need to obtain a financial clearance certificate from the Finance Directorate, cancelled the requirement to deposit 50 percent of the property’s market value in a bank, set the tax based on the market value with a 30 percent reduction for residential properties, and replaced prior security approval with a “No Objection to Completing the Real Estate Transaction” document.

Circular No. 189 of the General Authority for Taxes and Fees for 2025 stipulated that the “No Objection to Completing the Real Estate Transaction” document is required for the following real estate transactions:

• the sale of property;
• forough (the transfer of investment rights from one investor to another for a monetary consideration);
• the transfer of ownership from the name of a deceased person to their heirs in the land registry;
• takharuj (when one heir waives their share of an inherited property to another heir);
• property exchange between two owners without monetary payment; property donation (transfer without compensation);
• property allocation among co-owners by mutual agreement to divide the property so each owns a specific section;
• the transfer of cooperative housing association membership from one subscriber to another;
• the transfer of ownership from a founder’s name to the company’s name;
• and any agency, domestic or foreign, related to transferring ownership through sale or donation.

After obtaining the document, a power of attorney may be set up before a notary public transferring ownership to another person.

However, the General Authority for Taxes and Fees has significantly expanded the cases requiring a “No Objection” document, causing delays in completing legal actions involving real estate ownership transfers.

Legal sources confirmed to The Syria Report that the “No Objection” procedure effectively constitutes a security approval, as it takes at least a month to complete the security review of the transaction, and the duration may extend further as the number of applications increases.

Resuming notarial powers of attorney as one of the mechanisms for transferring ownership is an important measure, as it represents a new route for ownership transfer and thus relieves pressure on the courts. However, the complexities surrounding the power of attorney process – such as the requirement to obtain a “No Objection” document and financial clearance, and the taxation based on market value – make it an undesirable procedure for many.

In practice, these documents (“No Objection,” financial clearance, and tax statements) are attached to a recently issued property registration extract when preparing the notarial power of attorney. After the notary verifies the documents, the identities of both parties, and confirms that the seller has received the property’s price and the buyer has taken possession, they note in the title of the power of attorney that it is a “special irrevocable power of attorney,” and include wording in the text stating that it is an absolute and final sale with no reversal. The notary then certifies the power of attorney and issues certified copies to the parties.

However, the drawback of the notarial power of attorney is that it is not recorded in the Land Registry. In other words, the notary’s office does not send a copy of the power of attorney to the Land Registry to record the property under the new owner’s name. It is therefore the buyer’s responsibility to register the mentioned power of attorney and pay the registration fee. If the buyer fails to do so, the property remains under the seller’s name in the registry, allowing the seller to resell the property again without the buyer’s knowledge.

Hence, it becomes clear that ownership transfer through a notarial power of attorney differs from transfer through a “sale confirmation lawsuit.” The latter is legally more secure for the buyer, as it requires placing a note on the property’s record in favour of the buyer, thereby informing third parties of the existence of a sale. For this reason, transfer through a court ruling is more common than through a notarial power of attorney.

Property transfers – whether through a power of attorney or court ruling – are often carried out in informal areas with unlicensed buildings, where direct registration in the land registry is not possible. This differs from subdivided and formally designated areas, where property transfer takes place directly through sale in the land registry.