Limitations to Foreigners

1. Are there in your national system any limitations to foreigner citizens or foreign companies/companies controlled by foreign citizens regarding the acquisition of immovable properties? If yes:

1.1. Which legal regulations regulate in your country the prohibitions or limitations for foreigners’ acquisitions in case of transfer of property? Please specify the legal regulation and/or the range of the regulation that contains the prohibition.

Non applicable. The law on permission to acquire agricultural property, Jordförvärvslag (1979:230), apply to foreigners but is equal to all citizens and companies.

1.2. What do these limitations consist of?

There are limitations regarding acquisition of certain agricultural properties. The limitations however apply also to Swedish citizens and Swedish companies. There are currently no limitations in Sweden that are exclusive to foreign citizens or foreign companies. Additional limitations are currently being discussed but have not yet led to legislation.

1.3. Do these limitations apply to any foreign citizen, regardless their nationality, or only to non-EU Members national citizens?

They apply to everyone, even Swedish citizens and companies.

1.4. Do these limitations have?

• A defensive/protective purpose
• An economic purpose
• «Both economic and defensive/protective purposes: The purpose of the legislation is to have some control of the ownership of agricultural properties. Regarding natural/private persons the protection regards certain areas in Sweden and regarding companies the purpose is to maintain a balance between agricultural properties being owned by companies and private persons.»
• Other purposes (please specify)

2. To which kind of land registry unit do these limitations apply? (Example: only land plots, only rural areas, only foreign borders, dwellings and homes, other buildings?

Certain agricultural properties. The limitations are more extensive for companies.

3. To which kind of transfers or burdens do these limitations apply? (Example: to every transfer, non-free transfers, differently in case of inheritance than in case of purchase, mortgages in favor of foreigners….)

Purchases, substitution, gifts and some additional corporation transfers, regarding agricultural property.

4. Apart from the previous limitation to acquisition of property by foreigners, are there any other measures at your country relevant for this topic? (Example: pre-emption rights in case of purchase un favor of a foreigner, social or residential measures bases on nationality and non in residential permits….)

N/A

5. To what extent the land registrars’ controls in a deed of transfer the prohibitions imposed to foreigners to acquire land and buildings in your country?

In Sweden there is currently no prohibition regarding acquisition of immovable property, that only applies to foreign citizens or foreign companies. There are some limitations regarding agricultural properties but these limitations apply to all citizens and companies.

5.1. Do you only check if the transfer administrative authorization requirement is met, or do you also confirm that the authorization is valid? For example, do you consider property type, like rural or forestry classification, which might limit foreign transfers? Or do you verify the percentage of foreign land ownership in a specific area, especially if there are restrictions on the number of buyers or land size?

Non applicable.

5.2. What would happen if an authorization were needed, and it does not come with the title submitted for registration?

Non applicable.

5.3. What would happen in case a deed of inheritance in favor of a foreigner transfers property over land or buildings subject to limitations for foreigners’ acquisitions in your country?

Non applicable. The limitations regarding agricultural property does not include acquisitions by of inheritance.

5.4. If the states have preemption right in case of transfer, would you reject the registration if no notification to the state to enhanced it right is done?

Non applicable.

6. Do you expect any legal modifications on this issue?

There are discussions about introducing new legislation in Sweden that would include foreign citizens and companies and require permission to acquire other kinds of immovable properties in the future. However, no decision has been made about new legislation.