How to Verify Property Ownership and Boundaries Using SUNARP and Municipal Records in Arequipa: A Guide to Avoiding Fraud

As a licensed Peruvian real estate broker specializing in Arequipa, I cannot overstate the critical importance of rigorous due diligence when considering property investments here. For foreign investors and expats, understanding the dual system of property verification—through S.U.N.A.R.P. (Superintendencia Nacional de los Registros Públicos) and municipal records—is not merely a recommendation; it is an absolute prerequisite to safeguarding your investment against fraud, legal disputes, and unforeseen liabilities. This guide provides a detailed, practical roadmap to navigating these essential processes in Arequipa, ensuring your path to ownership is secure and transparent.

The Dual Pillars of Property Verification in Peru: SUNARP and Municipal Records

In Peru, the legal standing and physical reality of a property are primarily recorded across two distinct, yet interconnected, administrative bodies:

S.U.N.A.R.P. (Superintendencia Nacional de los Registros Públicos): This is the national public registry system, responsible for recording property titles and all legal acts affecting them. It is the ultimate legal authority for establishing property ownership, recording transfers, registering mortgages, easements, liens, and any other legal encumbrances. What is registered in SUNARP is legally recognized and has precedence. If a property or a legal act concerning it is not registered in SUNARP, its legal validity and enforceability are highly questionable.
Municipal Records: Each district municipality in Arequipa (e.g., Yanahuara, Cayma, Arequipa Cercado, José Luis Bustamante y Rivero) maintains its own cadastral and tax records. These records detail the physical characteristics of a property (land area, built area, dimensions, construction, and use), its cadastral value for tax purposes (valor catastral), and ensure compliance with urban planning regulations. They are crucial for assessing property taxes (Impuesto Predial) and municipal service fees (arbitrios municipales).

A robust due diligence process requires cross-referencing information from both sources. Discrepancies between the two are not uncommon and always warrant thorough investigation and, if necessary, formalization processes.

Phase 1: Verifying Ownership and Legal Status via S.U.N.A.R.P.

S.U.N.A.R.P. is your first and most critical stop. It provides the immutable legal truth about a property's title and its legal history.

Necessary Tools:

Property's Registration Number (Número de Partida Registral)
Owner's full name and DNI/Passport number
Property address
Access to SUNARP's online portal (servicios.sunarp.gob.pe) or a physical SUNARP office in Arequipa (e.g., Av. Goyeneche #500, Arequipa).
A qualified Peruvian real estate lawyer.

Step-by-Step Instructions:

Obtain the Property's Registration Number (Número de Partida Registral) This unique identifier is fundamental to any SUNARP search.
- From the Seller: Request it directly. It should be on any legitimate property title documents (Escritura Pública) or previous transfer records.
- Through a Búsqueda de Índice (Index Search): If you only have the seller's name (and DNI/RUC if a company) or the property's address, a search at SUNARP can often yield the Partida Registral. This is a crucial starting point if the seller is hesitant or unable to provide the number.
Request an Online Property Information Report (Certificado Literal de Partida Registral / Copia Literal) This document is a complete, certified copy of everything registered for that property since its initial inscription. You can request this online or at any SUNARP office. The cost is typically a modest fee (e.g., S/ 20-30 PEN per page).
- Process:
  1. Go to the SUNARP online services portal (Servicio de Publicidad Registral en Línea - SPRL).
  2. Select "Búsqueda de Partida" or "Copia Literal de Partida."
  3. Enter the Número de Partida Registral and the relevant district within Arequipa.
  4. Pay the fee online (using a Peruvian bank card or supported international credit card).
  5. Download the digital document. A physical copy with official seals can also be requested at the office.
- Key Checks within the Copia Literal:
  - Owner's Name and Identity: Absolutely verify that the name(s) of the registered owner(s) exactly match the seller's DNI/passport. If the seller is a company, verify the company's RUC and the legal representative's powers (see Step 4).
  - Property Description: Cross-reference the description (address, exact area, boundaries, number of floors, construction type) with what you are being shown and what is declared in municipal records. Any significant discrepancies are a red flag and require clarification.
  - History of Ownership: Review the chain of ownership. Frequent transfers in a short period can sometimes indicate speculative or problematic properties.
  - Liens, Mortgages, Encumbrances (Cargas y Gravámenes): This is paramount. Look for entries indicating:
    - Hipoteca: Mortgage.
    - Embargo: Seizure or lien due to debt.
    - Anotación de Demanda: Notice of a pending lawsuit affecting the property.
    - Servidumbre: Easements (e.g., right of way for neighbors or utility lines).
    - Cargas Técnicas: Technical observations or restrictions (e.g., related to construction permits, non-compliance).
    - Any active encumbrance must be cleared and formally lifted from the SUNARP record before the purchase can be safely completed. The seller is responsible for this.
Request a Property Summary Report (Certificado de Gravámenes / Cargas) While the Copia Literal shows all encumbrances as part of the property's history, a Certificado de Gravámenes specifically summarizes current liens, mortgages, and legal restrictions. It's a quick, focused check for financial liabilities affecting the property at the moment of the request. This certificate has a shorter validity period (typically 30 days) and is often requested just before the final signing at the notary.
Verify Seller's Identity and Legal Capacity
- Individual Seller: Ensure their DNI or passport is valid and matches the SUNARP records. If the seller is married, Peruvian law typically requires both spouses to consent to the sale of community property (bienes sociales). Their marriage status will be evident in their DNI.
- Corporate Seller:
  1. Request the company's RUC (tax ID).
  2. Obtain a Copia Literal from SUNARP's Registros de Personas Jurídicas (Legal Persons Registry) for the company itself. This reveals the company's articles of incorporation, current board members, and, crucially, the powers of its legal representatives (Gerente General, etc.).
  3. Confirm that the individual signing on behalf of the company has the legal authority (facultades) explicitly granted to sell real estate, including the specific type of property (e.g., residential, commercial). This is a common point of fraud.

Phase 2: Verifying Physical Boundaries and Municipal Compliance

Once the legal ownership is established, the next phase focuses on the property's physical reality, its compliance with local regulations, and its tax status. This involves checking with the relevant district municipality in Arequipa.

Necessary Tools:

Property's Municipal Code (Código Predial) or Cadastral Code
Previous property tax receipts (Hoja de Resumen - HR and Predio Urbano - PU declarations)
Access to the relevant District Municipality's offices (e.g., Municipalidad Provincial de Arequipa, Municipalidad Distrital de Yanahuara, Municipalidad Distrital de Cayma)
A qualified topographer/surveyor
A qualified architect familiar with Arequipa's urban planning regulations.

Step-by-Step Instructions:

Obtain the Property's Municipal Code (Código Predial) This code is the property's unique identifier within the municipality's tax system.
- From the Seller: Request previous property tax receipts (Hoja de Resumen - HR and Predio Urbano - PU) which contain this code.
- From the Municipality: If necessary, provide the address and owner's name to the Gerencia de Rentas or Subgerencia de Catastro department of the relevant district municipality in Arequipa.
Request the Property Declaration Forms (Hoja de Resumen - HR and Predio Urbano - PU) These are the annual declarations filed by the owner for property tax purposes. They describe the property's characteristics, including land area, built area, and construction materials.
- Key Checks:
  - Owner Match: The owner declared in the HR/PU should consistently match the SUNARP registered owner.
  - Physical Description: Compare the declared land area (área de terreno) and built area (área construida) with the SUNARP Copia Literal and the actual physical inspection. Discrepancies, especially in built area, are common if additions or renovations were made without municipal permits. This can lead to fines, difficulties obtaining future permits, or challenges for future sales. These discrepancies often need to be formalized through a Declaratoria de Fábrica and Regularización de Edificaciones process.
  - Cadastral Value: This is the basis for property tax (Impuesto Predial). While not directly related to market value, it should be reasonable and consistent.
Request a Certificate of Parameter and Urbanistic Norms (Certificado de Parámetros Urbanísticos y Edificatorios) This certificate, issued by the municipality's urban development department (Gerencia de Desarrollo Urbano), specifies the zoning regulations applicable to the property.
- Key Information: Permitted uses (residential, commercial, mixed), maximum height, setback requirements, minimum lot size, maximum buildable area, and parking requirements.
- Crucial for: Anyone planning to renovate, build an extension, or change the property's use. It ensures your future plans are compliant. This is especially vital for properties within Arequipa's UNESCO Historic Center, where regulations are very strict, and also for properties in expanding districts where zoning may be changing.
Request a Non-Debt Certificate for Property Taxes (Constancia de No Adeudo de Impuesto Predial) This certificate confirms that all property taxes (Impuesto Predial) up to the current year have been paid. The seller is legally obligated to deliver the property free of tax debts.
Request a Certificate of Non-Debt for Municipal Services (Arbitrios Municipales) This confirms payment of municipal service fees (e.g., trash collection, street lighting, park maintenance, public safety) up to the current year. Like property taxes, these debts follow the property, so ensuring they are clear is essential.
Physical Site Inspection and Professional Survey This step cannot be skipped. Documents are only as good as their reflection of reality.
- Engage a Registered Topographer/Surveyor: Have them physically measure the property's boundaries and compare them against the plans in SUNARP and municipal records. This is vital to detect:
  - Encroachments: Is a neighbor's fence or building encroaching on your property, or vice-versa?
  - Boundary Disputes: Especially common in rural or peri-urban areas on the outskirts of Arequipa, where land divisions can be informal or poorly defined.
  - Easements (Servidumbres): Are there unrecorded paths or access rights across the property?
- Engage an Architect: An architect can assess the physical condition of the structures, identify any unauthorized constructions (which would not be in municipal records and could lead to fines), and confirm the property's actual use aligns with its zoning. This is particularly important for older properties or those that have undergone multiple informal modifications.

Local Context & Critical Warnings for Arequipa

Arequipa, with its UNESCO-listed historic center, unique sillar architecture, and rapidly expanding urban areas, presents specific challenges that demand heightened vigilance from foreign investors:

Historic Properties in the UNESCO Historic Center: Properties within the Centro Histórico de Arequipa are subject to strict regulations from the Ministerio de Cultura (Ministry of Culture) and the Municipalidad Provincial de Arequipa. Any renovation, alteration, new construction, or even changes to facades requires special permits and adherence to specific architectural and conservation guidelines. Due diligence here must include verifying that all past works were approved and that future plans are feasible within these stringent rules. Unapproved works can lead to significant fines, forced demolition, or even expropriation.
Informal Settlements ("Invasiones" / "Pueblos Jóvenes"): Arequipa, like many Peruvian cities, has areas that began as informal settlements or invasiones (land invasions) or pueblos jóvenes. While many have undergone formalization processes over decades, securing clear and definitive titles, many still lack clear titles, or their titles are provisional and contested. As a general rule, foreign investors should exercise extreme caution and generally avoid properties in informal settlements unless they have highly specialized legal counsel and an extremely high-risk tolerance. Verifying ownership in these areas can be incredibly complex, time-consuming, and prone to fraud. Focus on established, formalized neighborhoods like Yanahuara, Cayma, Selva Alegre, Sachaca, or traditional parts of Arequipa Cercado.
Boundary Disputes in Rural/Peri-Urban Areas: Properties in Arequipa's expanding periphery, particularly those transitioning from agricultural land (terrenos rústicos) to urban use (terrenos urbanos), often have poorly defined or overlapping boundaries. Old "Mojones" (boundary markers) can disappear, and adjacent properties may have informal subdivisions. A professional, independent land survey is non-negotiable in these areas to prevent costly disputes with neighbors.
The "Dual System" Challenge & Discrepancies: It is common to find minor (or even significant) discrepancies between SUNARP records (legal title, area as per deed) and municipal records (cadastral area, built area for tax purposes). For instance, a property might have a larger constructed area than declared in the municipality because additions or renovations were made without obtaining the necessary municipal permits and updating the Declaratoria de Fábrica. These discrepancies must be investigated and, if necessary, formally reconciled by a lawyer and an architect. Failure to do so can lead to fines, problems obtaining future permits, or difficulties when selling the property.
Tax Reconciliation and Alcabala: When a property is sold, a transfer tax called Alcabala is paid by the buyer (3% of the sales price over 10 Unidades Impositivas Tributarias - UIT). For 2024, 1 UIT is S/ 5,150 PEN, meaning the first S/ 51,500 PEN of the sales price is exempt. It's crucial that the declared sales price in the public deed (Escritura Pública) aligns with the actual transaction. Significant undervaluation can attract scrutiny from SUNAT (the national tax authority) and could result in future penalties. Ensure all prior property taxes and municipal services (Impuesto Predial and Arbitrios Municipales) are paid up to the date of sale.

Practical Investment Strategies & Due Diligence Best Practices

Engage a Qualified, Local Lawyer: This is non-negotiable. Do not rely solely on your real estate broker or the seller's notary. You need independent legal counsel specializing in Arequipa real estate law. They will perform the legal due diligence on SUNARP and municipal records and represent your interests.
Work with a Licensed Real Estate Broker: A reputable, licensed broker in Arequipa, like those at ArequipaRealEstate.com, understands the local market, can identify initial red flags, and guide you through the preliminary document gathering process. We complement, but do not replace, your lawyer.
Budget for Due Diligence Costs: Legal fees, survey costs, architect fees, and document request fees are an essential investment in your security. Expect to pay a few hundred to a couple of thousand USD (or equivalent in PEN) for comprehensive due diligence, depending on the property's complexity.
Never Pay the Full Purchase Price Until Legal Transfer: In Peru, the property technically transfers ownership upon the registration of the Public Deed (Escritura Pública) in SUNARP. Use a notary who can hold funds in escrow or structure payments based on key milestones (e.g., a deposit upon signing the Minuta (private agreement), the remainder upon signing the Escritura Pública at the notary, with funds released only after SUNARP registration is confirmed).
Patience is a Virtue: The process of acquiring property in Peru takes time. Rushing leads to overlooked details and potential mistakes. Allow sufficient time for all due diligence steps. Remember that patience is a sign of seriousness and can protect your investment.

Conclusion

Investing in Arequipa's vibrant real estate market offers incredible opportunities, but success hinges on diligent verification. By meticulously examining both SUNARP and municipal records, engaging qualified local professionals (lawyers, architects, surveyors), and understanding the specific local context, you can navigate the complexities of Peruvian property law with confidence, securing your investment and avoiding potential pitfalls.