Buying property from heirs in Bosnia: what to check first

Buying property from heirs in Bosnia and Herzegovina is safe only once the rješenje o nasljeđivanju (inheritance decision) is final and the heirs are, as a rule, registered as owners in the land register or cadastre. If there are several heirs and the property has not been divided, all of them must sign the contract, in person or through someone holding a proper power of attorney. Until each of these is in place, do not pay a deposit or sign a sale contract.

This is general information, not legal advice. The rules differ between the Federation of BiH (FBiH), Republika Srpska (RS) and Brčko District, so a notary or lawyer should confirm the details for your case.

What the inheritance decision is and who issues it

The inheritance decision closes the ostavinski postupak (probate procedure). It states who became an heir at the moment of death, which assets they inherited and in what shares, and what rights other people gained, for example legatees who were left a specific item.

• FBiH: probate is handled by the municipal court or by a notary acting for the court. Since 2015 the court normally passes the case to a notary. The court opens the case itself once it receives the smrtovnica (death notice) or a death certificate.
• RS: probate is handled by the basic court or by a notary acting for the court. Under the current text of the law the court passes the case to a notary unless an heir asks for the court to handle it. Heirs do not choose the notary; the court assigns one.
• Brčko District: a separate Brčko District Law on Inheritance has applied since 2017. Who handles probate there, and how, is best checked with the court or a notary in Brčko.

For a buyer one point matters: whoever issued the decision, it must be final before anyone sells property on the strength of it.

Issued is not the same as final

A common mistake is to assume the job is done once the heirs have the decision in hand. It is not. A decision becomes pravosnažno (final and binding) only when the deadline for challenging it has passed with no challenge, or when any challenge has been decided.

• In FBiH, an objection to a notary's decision can be filed within 8 days of delivery.
• Appeal deadlines for decisions issued by a court, and the deadlines in RS and Brčko District, should be checked with the court or notary who handled the case.

In practice, ask for a copy of the decision stamped as final, with the date it became final. If there is no such stamp, ask the heirs to request one from the court or notary.

If heirs dispute the right to inherit, a will or the division, probate is paused and they are sent to civil litigation. That can take a long time. A property caught in such a dispute is not one to buy until the dispute is over.

Registering the heirs in the land register

In FBiH the final decision is sent to the heirs, the tax authority and the body that keeps the property records. Whether the heirs then have to file their own application for registration, and how this works in RS and Brčko District, a notary or the land registry office will confirm.

Ownership passes to you only when you are registered in the zemljišna knjiga (land register). The safest moment to buy is therefore when the heirs are already registered as owners. Before signing, get a fresh extract and check:

• that the registered owners are exactly the heirs who are selling, with shares that match the decision,
• that there are no mortgages, notes of a dispute or other burdens,
• that the property details (plot, flat, area) match the decision and what you are buying.

How to read the extract is explained in our guide to the land registry extract in Bosnia.

When there are several heirs

This is the most sensitive part. In RS the law is clear:

• Until the estate is divided, the heirs manage and dispose of it jointly.
• Before division, or before the decision is final, an heir can transfer their share only to a co-heir, not to an outsider such as a buyer.
• Any heir can ask for division at any time, and that right never expires.
• Heirs are jointly liable for the deceased's debts, each up to the value of their share.

We have not verified the matching rules for FBiH and Brčko District, so do not assume they are the same. The safe approach anywhere in BiH is this: if you are buying the whole property from several heirs, every registered co-owner signs, in person or through an attorney. A contract signed by one heir 'on behalf of the family', without powers of attorney from the others, does not protect you.

If you are buying only one co-owner's share, especially of agricultural land, ask the notary whether the other co-owners have a right of first refusal.

Powers of attorney when an heir cannot attend

It is common for at least one heir to live abroad. That heir then signs through an attorney using a punomoć (power of attorney).

What the power of attorney should contain

• exact property details (land register folio or cadastral sheet number, plot, flat),
• authority to sign the sale contract and, if needed, the pre-contract,
• authority to receive money, and into which account, if the attorney is to receive payment,
• authority to apply for registration and to sign statements before public bodies.

A general power of attorney 'for all matters' that does not name the property may be refused or invite a dispute later.

Form of the power of attorney

For a property sale, expect the power of attorney to need notarial certification. For an heir abroad it is usual to have it certified by a notary in the country where they live, and an apostille (the international certificate that makes a foreign public document valid in BiH) is often needed as well. Check exactly what form the Bosnian notary who will draft the contract requires before the heir goes to sign, and send the heir a draft text. That avoids having to certify it twice. More on this in our guide to buying property in Bosnia from abroad.

Form of the sale contract

• RS and Brčko District: a contract transferring property must be drafted by a notary, otherwise it is void.
• FBiH: the question is disputed. The FBiH Constitutional Court found compulsory notarial drafting unconstitutional, the FBiH Supreme Court requires at least certified signatures for registration, and the Notary Chamber holds that a notarially drafted contract is the only safe form. In practice a notarially drafted contract remains the safest choice.

What must be finished before you sign

Before paying a deposit or signing the sale contract, check that:

1. The inheritance decision exists and is final, with the date of finality visible.
2. The decision lists all heirs and their shares, and describes the property accurately.
3. The heirs are registered in the land register or cadastre, or a notary has confirmed how registration will be handled in your case.
4. The extract shows no burdens, disputes or notes you have not agreed to.
5. All heirs sign, in person or through an attorney whose power of attorney the notary has reviewed in advance.
6. There is no dispute among the heirs and no sign that anyone intends to challenge the decision.
7. If inheritance is taxed in your canton or entity, the heirs can show that obligation has been settled. Inheritance tax rules vary, so confirm them with the tax authority.
8. It is agreed which part of the price goes to which account.

If any point is not met, move the signing date or use the pre-contract to tie the deposit clearly to that point being fulfilled. Our guide to the pre-contract and deposit (kapara) explains how.

Costs and taxes

Depending on the entity and canton, a transfer tax may be payable on the sale, on top of notary and land registry fees. Who pays the tax and how much it is should be confirmed with the tax authority responsible for the property's location.

Common mistakes

• Paying a deposit on a decision that is not yet final.
• Letting only the heir who lives in Bosnia sign, while the others 'will agree later'.
• Accepting a power of attorney from abroad that has no apostille or does not name the property, so the notary refuses it.
• Paying the whole price in cash to one heir, after which the others claim they received nothing.
• Skipping the land register extract and later discovering a mortgage from the deceased's time.

The safest way to pay is by bank transfer, to each heir's own account in line with their share in the decision, or through a notary's escrow account. See how to pay for property in Bosnia safely.

An example

The price and details in this example are invented for illustration.

A 54 m² flat was inherited by three siblings, one third each. Two live in Sarajevo, one in Germany. The agreed price is 300,000 KM.

1. The buyer asks for the inheritance decision and sees that it became final two months ago.
2. A fresh extract shows all three registered as co-owners, 1/3 each, with no burdens.
3. The notary in Sarajevo sends a draft power of attorney. The sibling in Germany has it certified by a local notary and obtains an apostille, appointing one of the sisters as attorney.
4. A pre-contract is signed with a deposit of 30,000 KM, paid as 10,000 KM into each heir's account.
5. The sale contract is signed before the notary. The rest of the price is paid so that each heir receives 100,000 KM in total, including the deposit, into their own account.
6. The buyer applies for registration and becomes the owner once registration is completed.

How DMI helps

We visit every property we list in person and check its land register entry, legalisation status and photos before publishing. For a sale by heirs, that means we ask for the final inheritance decision before advertising, check that all heirs are registered and whether any of them needs a power of attorney. For buyers abroad we offer video tours. Our current listings are all in Sarajevo, and if you are an heir who wants to sell, we can walk you through what needs to be ready first.