Oftentimes, the first priority to claim an estate in Puerto Rico is to gather information on the properties left behind. After all, what is there to claim if not the properties that the deceased family member has left?
The decision to initiate an estate claim in Puerto Rico is directly dependent on whether or not there IS something to claim. It makes very little sense economically to initiate legal proceedings without first establishing what is to be claimed, how much it is worth, and how much it’ll cost to get it.
From a sentimental standpoint, many heirs wish to begin an estate claim regardless of the fair market value of the house where they grew up, or their parent’s last home. Other times, the decision to proceed legally, and the costs and legal fees associated may far outweigh the final value of the investment.
In any case, it’s always a good idea to start by investigating what assets were left behind, and how much they’re worth.
Here are a few pointers on where to begin:
Real Estate
Finding real estate properties in Puerto Rico is a daunting task. Outdated tax records, few if any online access to public records, and disorganized non-computerized filing systems make for a tedious and costly search of real estate properties.
There are ways to work around this.
Tip #1:
The first is the Puerto Rico Property Registry, or “Registro de la Propiedad”. The inclusion of real estate properties within the registry is voluntary in Puerto Rico. Registrants acquire certain legal rights or benefits if they do register their properties, but it is not compulsory, so this system is plagued with outdated records, mistakes in entries, and absolutely no way of gathering information aside from physically visiting the regional offices and searching.
There is something good to all this: apartments.
Apartments, and apartment buildings MUST be registered in the Puerto Rico Property Registry, so if the deceased family member owned an apartment, you will surely find it here.
Here’s a quick tip: Hire the services of a Title Investigator to search the Index and find if the decedent left any real estate properties. These professionals are much more adept at searching for properties, and title studies are not expensive. Most range about the $50 to $100 range, depending on the complexity of the study.
You will receive a list of all the properties registered under that person’s name, just as long as they are contained within the registry.
Click here for the Puerto Rico Property Registry’s addresses.
Tip #2:
The CRIM. The Center for the Collection of Municipal Taxes, or CRIM, for it’s name in Spanish (pronounced “cream“) is the government agency in charge of organizing real estate property information for property tax purposes in Puerto Rico.
If anyone needs to know who owns what, where, and how much it costs, it’s this agency. Every real estate property built, sold, segregated or existing in Puerto Rico receives it’s own lot number, called a “Catastro”. It’s a numerical denominator, much like a real estate property’s Social Security number that is used to identify it, and gather it’s taxable value.
Here’s a another quick tip:
You can search all the properties under a person’s Social Security number, and it makes for a quick cross search of what the decedent owned at the time of death.
While heirs are liable for paying property taxes before selling any real estate in Puerto Rico, there are exceptions to reduce the overall debt associated with these properties, so you needn’t worry that just by asking the government will initiate collection on past due property taxes. Now, if the decedent owned property taxes, the CRIM will require that these be paid before any new transaction is made.
You can write a letter requesting a Certification of Debt, and a listing of all the properties under the decedent’s name. You’ll need this for the PR Estate Tax form, so you might as well apply for it anyway.
Click here for a map of each municipality’s CRIM address.
Unfortunately, there isn’t much public record information online, as government agencies in Puerto Rico have yet to establish a serious online presence. As you may know from my previous posts, most of waht is available online is a downloadable form to print and mail in with a Money Order, and wait for a reply through regular mail.
There aren’t any dedicated heir or estate asset locating services in Puerto Rico, at least none that I am aware of. Personally, I have been hired to search for properties, and to provide advice on the reasonability of pursuing estate properties in Puerto Rico. Like all legal matters, it’s sometimes worth it, sometimes not. It depends on what your priorities are at the time to decide to claim an inheritance.
