The process to swap land titles, through things like house sales, has been backlogged for months, but city officials say the issue won’t impact property tax season.
Backlogs in land title changes started to build up in spring 2021, when the housing market got hot and Morinville-St. Albert MLA Dale Nally, who also serves as Minister of Red tape and Service Alberta said the delay was worsened by the land titles office's aging document-management system, which is largely paper-based.
And delays to land title process can cause problems for municipalities at tax season, as tax notices may be mailed to previous owners, but the city has put in place a system to account for the challenges, said city of St. Albert spokesperson Cory Sinclair.
“For over a year, the city has been dealing with the issue of long delays, which result in frustration for developers and residents,” Sinclair said.
But to tackle the issue, the city is working with local law firms, real estate agents and banks to make sure land titles are correct at tax season.
“If someone has a recent transfer and is concerned that it will not be registered by May at land titles, they should ensure their law office has been in contact with the city or they can call us directly.”
The multi-month processing backlog at the provincial land titles office has been reduced by about 25 per cent since November's peak of 84 business days, said. Nally.
Nally, the MLA for Morinville-St. Albert, said in an email the backlog has been reduced through increased staffing. The office's goal is to reduce wait times to 10 to 12 business days by the end of the year, he said.
“The improvements we are making in the land titles system are welcomed by buyers, sellers, real estate agents, lawyers, lenders, and others involved in real estate transactions.”
Although the backlog was created by substantial real estate activity, Nally said, the delay was worsened by the land titles office's aging document-management system, which is largely paper-based.
However, the paper-based system is set to be replaced over the next three years as the 2023 provincial budget has dedicated $60 million for upgrades at the Land Titles office.
“By investing in modernization, we are speeding up processing times, keeping up with technology in the industry and will be better positioned to handle greater volumes as Alberta’s economy and population continue to grow.”
The new provincial budget also plans to spend $40 million combined on upgrades for the vehicle, corporate, and vital events (births, deaths) registry systems.
“The current motor vehicles registry system was created nearly 40 years ago and despite many upgrades, is nearing the end of its useful life,” Nally said.
“The strategic investment we are making in all of our registry systems and infrastructure will ensure we have modern systems in place to meet the needs and expectations of Albertans for many years to come.”
