Steps in transferring land titles in the Philippines After the notarization of the Deed of Absolute Sale (DOAS), here are the steps that you need to follow to get a Transfer Certificate of Title: 1. Go to the municipal/city assessor’s office which has jurisdiction over the subject property, then request for a certified true copy of the latest Tax Declaration of the property. 2. Go to the assigned Revenue District Office (RDO) of Bureau of Internal Revenue (BIR). Fill out the BIR Form 1706 (CGT) and BIR Form 2000 for Documentary Stamp Tax (in triplicate copies). Submit the required documents detailed in number 3 (below) which serves as basis for computation of amount of taxes. BIR will return the documents submitted before payment of Capital Gains Tax and Documentary Stamp Tax at the Authorized Agent Bank (AAB). Prior the payment to the AAB, you will be required to fill out a separate AAB payment form, present it to the AAB representative and then pay the amount due in cash. 3. Submit the following documents to BIR representative (including the original copies of the AAB payment forms)
• Original plus two (2) photocopies of the notarized deed of sale
• Owner's duplicate copy of the transfer certificate of title (TCT) or the Condominum Certificate of Title (CCT), whichever applies, plus two (2) photocopies
• Certified true copies of the latest tax declaration for land and improvement of the property plus two (2) photocopies. If property sold is a vacant lot or has no improvement, a Sworn Declaration of No Improvement by at least one of the transferees or Certificate of No Improvement issued by the city or municipal assessor
• Tax Identification Numbers of the Seller and Buyer
Other requirements, (if applicable):
• Special Power of Attorney if the person signing on the document is not the owner as appearing on the TCT/ CCT
• Certification of the Philippine Consulate, (if the document is executed abroad)
• Location plan/vicinity map if the zonal value cannot readily be determined from the documents submitted
• Such other requirements as may be required by law/rulings/regulations/other issuances.
4. Upon submission, BIR representative will give you claim slip which you will use to claim the Certificate Authorizing Registration (CAR) on the date provided. It is one of the requirements for the RD for the title registration and issuance of a new Owner’s Duplicate Original Copy of the Transfer Certificate of Title or the Condominium Certificate of Title. (Under BIR Revenue Memorandum Order No.15-03, the CAR will be issued by the BIR Revenue District Offices or local agents for all One Time Transaction (ONETT) within a period of 5 days from date of receipt of complete documentary requirements). 5. The CAR will be released to you together with the following:
• Original copy of the Deed of Absolute Sale stamped received by the BIR
• Owner’s Duplicate Copy of the Transfer Certificate of Title or the Condominium Certificate of Title
• Original Copies of the BIR Form 1706 (CGT) and Form 2000 (DST) stamped received by the BIR
• Copies of the Tax Declaration for land and improvement
6. Proceed to the local treasurer's office for the payment of transfer fee and secure a copy of tax clearance upon payment of a certain fee for its issuance upon presentation of the following:
• Original and 1 photocopy of the Deed of Absolute Sale
• Photocopy of Tax Declaration
• Official Receipt of Payment of Real Property Tax and Special Education Fund Tax for the current year.
7. Submit Documents to the Register of Deeds. Present the following documents to the RD which are required for the issuance of the new Owner’s Duplicate Copy of the Transfer Certificate of Title or Condominium Certificate of Title in your name:
• Original plus 3 photocopies of the Deed of Absolute Sale stamped received by the BIR
• Owner’s Duplicate Copy of the Transfer Certificate of Title (CCT)
• Original Copy of the Certificate Authorizing Registration (CAR)
• Original Copy of the Realty Tax Clearance
• Original Copies of Official Receipts of Payments of Capital Gains Tax, Documentary Stamp Tax, Tax Clearance Certificate and Transfer Fee
• Original Copies of the Current Tax Declaration for land and improvement issued by the local assessor’s office
If the seller or buyer is a corporation, the following requirements must also be submitted:
• Secretary’s Certificate authorizing the sale of the real property
• Certified True Copy of the Articles of Incorporation and By Laws of the seller or buyer corporation
8. Payment of Registration Fee. Upon payment of the required registration fee and submission of the required documents, the Register of Deeds will issue a new Owner’s Duplicate Copy of the Transfer Certificate of Title or Condominium Certificate of Title which in no case shall exceed 5 days from submission of the complete documents and payment of registration fee.
9. Tax Declaration. Once you secure Owner’s Duplicate Copy of the Transfer Certificate of Title or Condominium Certificate of Title, proceed to the local assessor’s office to request for the issuance of the Tax Declaration in your name. The following documents are required for the issuance of the Tax Declaration on your land and improvement:
Photocopy of the Deed of Absolute Sale
Photocopy of the Transfer Certificate of Title or the Condominium Certificate of Title
Photocopy of the CAR
Photocopy of the Transfer Tax Receipt
Photocopy of the latest Tax Receipt or Tax Clearance
In other local assessor’s office such as in Makati City, the following are also required:
Subdivision Plan if lot is subdivided
Colored Photos of house, lot or condominium unit
That’s all for now. Hope you’ve learned valuable insights. For any questions or concerns, we would be glad to hear from you. You may reach us through our mobile number (+63)917-555-8-222, or direct line (02)442-6362, or email us at
[email protected].
Tax Declaration vs. Titled Land Buying land from a seller who has a mere tax declaration to vouch for his title is a no-no. Always remember anyone can pay real property tax. The Government does not care whether the taxpayer is the owner or not. It's pretty easy to obtain a copy of a tax dec. Although usually, those who use tax declarations are selling government lands which are yet to be declared alienable (government property na puwedeng ibenta sa private individuals). Sila yung mga tinatawag na "professional squatters". Marami sila dito sa probinsya. I have dealt with their kind before. As pointed out by /u/Retsud0, Certificates of Title (OCT/TCT) are conclusive proof of title over real property. It's a constructive notice to the whole world that the name indicated in the certificate is the owner of the property. It is indefeasible except in a direct action before courts. Also, the advantage of buying a land with an OCT/TCT is that in the event that someone claims to be the legit owner of the land and it turns out that he is, you as the buyer has no obligation to return the possession of the land to him nor compensate him for the loss. This provided you are in good faith or was not aware of any defect in the ownership or title of the seller from whom you bought the property. You may simply claim
that you based your good faith on what the OCT/TCT says (the so-called "Mirror Principle"). Si legit owner ang maghahabol kay fake seller.
Let's say the seller can legitimately get his tax-dec property titled, what is the process? You just don't know how cunning some professional squatters can be. They will look for an idle land, obtain a tax declaration over it, and pretend they had possession of the property since time immemorial. The encounters I had with these people never cease to amaze me. If a property owner only has a tax declaration as evidence of his title, there are two possibilities. First, he might be a professional squatter claiming possession over a property belonging to another. Second, he is the legit possessor of a land which belongs to the government. At the first instance, if the land is covered by an OCT/TCT (Original Certificate of Title or Transfer Certificate of Title), your possession will never ripen into ownership. Even if you were in the property for more than a hundred years, the certificate of title will always prevail over your claim which is merely evidenced by a tax declaration. At the second instance, first thing you need to do is determine the status of the government land. Go to DENR - Land Management Bureau and ask if the said property has been declared alienable (can be handed over to private individuals) or inalienable (remains to be a sovereign property of the State which cannot be given to private control). If it's inalienable, then end of story. If it's alienable, then secure a tax declaration to prove that the period of your possession falls within the required time frame (prescriptive period) to apply for an OCT. This is counted from the time it was declared alienable. The period shall depend on what law was used to to render it as such. Survey your land, file a petition to the DENR, publication and sending of notices to interested parties, approval, hearing before the court (if your claim is contested by another claimant or your claim is under the Public Land Act), judicial confirmation of your OCT (if court registered), another publication, and have then have the LRA - Register of Deeds issue the OCT. It is very tedious and may take years. Better have a lawyer from the provinces to handle this thing since this is their forte. A Manila lawyer is usually inexperienced in this kind of situation. Land disputes involving tax declarations are rare in the NCR.
Since they claim it is easy, I suspect their claim is based on a Free Patent or Homestead. In such cases, there is an express declaration by the government (usually through a law;
go google R.A. 10023) wherein certain public lands occupied by private individuals shall be awarded to their respective possessors provided it is within the limits provided by law. No need to go to court, you just need to file your application with the DENR who will issue the patent and then the LRA-RoD will issue the OCT. Unless you are an indigent, you will shoulder all the expenses (surveying, titling, mandatory hearing, publishing, application fee, etc.). My friend, who applied under a free patent, is still waiting for his OCT. He filed his application in 2010 as soon as R.A. 10023 took effect. In my experience, usually it's because they don't have the money and the time (effort?) to do it. My own family also has properties which are merely evidenced by tax declarations and no one is bothering to have them titled.
THE PROPER AND COMPLETE PROCESS
I. Preparation 1. Prepare the necessary documents for execution of Deed of Sale:
o Deed of Absolute Sale (or other variants, as appropriate in your case) o Acknowledgment of Payment (from buyer to seller) o Affidavit of non-tenancy and/or no pending case (as appropriate) o Affidavit of land holdings by the buyer (as applicable) 2. Signing of documents. Both parties should sign the following:
o Deed of Absolute Sale o Acknowledgment Receipt of Payment by the buyer to seller The seller should sign the:
o Affidavit of non-tenancy and/or no pending case The buyer should sign the:
o Affidavit of land holdings 3. Secure the following documents to be needed later:
o 2 government-issued ID’s of both the seller and the buyer o Tax Identification Number (TIN) of each party o Original Owner’s duplicate of Title o Marriage contract, if applicable o Previous Certificate Authorizing Registration (CAR) o Tax declaration o Receipt(s) of Real Property Tax (RPT) payments o Special Power of Attorney (SPA), if dealing with an attorney-in-fact (an authorized representative) 4. Notarization of documents – all documents signed by the parties should be notarized.
II. Secure payment computations and certified copies of the following documents. 1. Bureau of Internal Revenue (BIR):
o Secure computation of fees for Documentary Stamp Tax (DST) and for o Capital Gains Tax (CGT) Notes: Go to ONETT for DST and CGT computation; ask for the specific payee to be named in the manager’s check (if paying in check); and take note of their accredited banks, so you’ll know where to submit the payments. 2. City (or Municipal) Treasurer’s Office:
o Secure computation of Transfer Tax o Secure Tax Clearance Notes: Ask for computation of the Transfer Tax; ask for the specific payee to be named in the manager’s check for payment (if paying in check). 3. City (or Municipal) Assessor’s Office:
o Secure Certified True Copy of the Tax Declaration 4. Registry of Deeds:
o Secure computation of Registration Fee o Secure Certified True Copy of the existing Transfer Certificate of Title (TCT) or Condominium Certificate of Title (CCT), as appropriate Notes: Ask for computation of the Registration Fee; ask for the specific payee to be named in the manager’s check for payment (if paying in check).
III. Preparation of payments.
Now that you know the exact fees that you will have to pay, you should prepare these amounts. These fees are preferrably paid using manager’s checks. But you can also pay them in cash. Take note of the following deadlines for the settlement of these fees. 1. BIR:
o CGT – 30 days after the date of notarization of the Deed of Sale o DST – 5th day of the following month from notarization of the Deed of Sale 2. City Treasurer’s Office:
o Transfer Tax – 60 days from date of execution of Deed of Sale or the Acknowledgment of Payment 3. Registry of Deeds:
o Registration Fee – 1 year from the date of release of CAR from BIR + 6 months extension if approved by BIR upon due submission of request
IV. Process payments to BIR. 1. Present the following requirements to ONETT to obtain the official Computation Sheet:
o Certified True Copy of the Title (TCT or CCT) o Certified True Copy of the Tax Declaration o IDs of the buyer(s) and the seller(s) o TIN of the buyer(s) and the seller(s) o Filled-out online DST & CGT BIR Forms
o Deed of Sale o Acknowledgment of Payment 2. Pay the DST & CGT at the Accredited Agent Bank (AAB) of the BIR-RDO (Revenue District Office)
o Fill out the bank form for the BIR payments o Present the verified DST & CGT BIR returns together with the MCs (or cash payment) and the bank form o Don’t forget the transaction slip! 3. Then go back to BIR to file the above listed documents together with the transaction slip for the processing of the new CAR
V. Process payment to the City Treasurer. 1. Present the following requirements to the Officer in Charge (OIC):
o Deed of Sale o IDs of the buyer(s) and the Seller(s) 2. Submit manager’s check or cash payment to the designated cashier. 3. Bring the receipt to the OIC together with the above mentioned documents to process the Transfer Tax Clearance.
VI. Process payment to the Registry of Deeds. 1. Fill out an application form for transfer of Title and present the following requirements to the Examiner of the Day:
o CAR from the BIR o Deed of Sale
o Transfer Tax Clearance 2. Submit the manager’s check or cash payment to the cashier for the registration. Then attach the receipt to the application form together with the documents stated above.
VII. Follow up with the Registry of Deeds. 1. Contact the assigned examiner for the progress of your application for new Title. 2. Once the new title has been released, file a copy with the City Assessors’ Office.
VIII. New Tax Declaration. 1. Finally, when the new Title under the buyer’s name is already released, present it to the Assessors’ Office for the issuance of the new Tax Declaration. 2. Congratulations! You’ve now completed the proper transfer of Title.
PARTING REMINDERS
Great care and attention to small details are required in this process. You are also going to need a lot of patience as this will involve a lot of waiting and sometimes long queues. Little mistakes along the way may cause major delays and possible serious issues in the future. So please be careful to save yourself a lot of trouble. If there’s anything you are not sure about, ask questions torelevant persons, not just to anyone. Also, if you’re in doubt as to whether an original or only a copy of a document is required, just bring the original. You can just make copies there if only copies are needed.
REAL ESTATE TITLING AND TITLE-RELATED SERVICES Whether you are processing titles for transfer of ownership or having your land titled for the first time, our award-winning professional services can definitely save you tons of work and time. These services are the following: 1.
Land Registration
2.
Title Research and Verification
3.
Title Transfer
LAND REGISTRATION
The Certificate of Title (or simply “Title”) to a real property is considered the most important document proving ownership. Because this is so important, the process in acquiring a title for a currently “untitled” property can be long and very tedious. It requires a lot of legwork and navigating through the government’s bureaucracy. It can be a time-consuming and tiresome task, especially if you have no idea about the entire process and what each government agency requires. If you’d rather have professionals handle this for you instead of doing it yourself, then this service is for you. How much is our fee? It varies, depending on the actual location of the property to be titled. But we start at ₱40,000 (net of VAT). We also require a deposit of ₱15,000 for ordinary operating expenses like transportation, photo-copying, printing, notarization, allowances, etc. A full liquidation will be submitted to you together with the Certificate of Title at the end of the project. We may also bill you with additional charges for expenses exceeding the ₱15,000 deposit, but you’ll get a refund if the deposit is not all used up. Contact us today for a proper quote and tell us about the property – where is it located? What documents do you currently have? How did you acquire it? Any other pertinent info about the property?
You can use the contact form on this page. (at the bottom of this page, if you’re on a mobile phone.) How long will it take? This greatly varies with how responsive the concerned government agencies in your locality are. Another factor is the complexity of your situation. Each case is unique and it may take somewhere between 3 to 12 months or more.
TITLE RESEARCH AND VERIFICATION
Because the Certificate of Title is the most authoritative document showing the owner of a property, it is also one of the most frequently faked documents by scammers. A lot of unsuspecting people have been scammed into buying properties which turned out to be either non-existent or actually owned by a different owner. Some people bought the same properties which were already sold to several other people. These scams could be avoided by checking the document itself and checking with the relevant government agencies. But, like registering a real property for the first time, this can be a time-consuming and tedious task as well. You can let us do this for you instead. That way, you also have the added security and peace of mind that no small details are missed. Our experienced personnel are ready to secure the verification documents from the government agencies involved and our PRC-licensed professionals will review those documents in order to produce a detailed report on their findings and submit it to you. Actual site visits will also be conducted and our very own background research. How much is our fee? It varies, depending on the actual location of the property whose title is to be verified and other factors that affect the complexity of the task. If the property is located within Metro Manila, we start at₱10,000 (net of VAT). We also require a deposit of ₱5,000 for ordinary operating expenses like transportation,
photo-copying, printing, allowances, etc. A full liquidation will be submitted to you together with the verification report at the end of the project. We may also bill you with additional charges for expenses exceeding the ₱5,000 deposit, but you’ll get a refund if the deposit is not all used up. If the property is located outside of Metro Manila, we start at ₱15,000 (net of VAT) and a deposit of ₱10,000 for ordinary operating expenses, including board and lodging if required. As with the above, you’ll also get a full liquidation of the ordinary operating expenses, subject to additional billings as required and a refund if the deposit is not all used up. Discounts available! If the purpose of the title verification is for subsequently buying the property, we provide a discounted fee if you also contract our services for the subsequent transfer of ownership; of course, provided everything is okay with the property. If problems/issues are found, making the subsequent purchase and transfer of titles not an option, the discount will also not apply. The discounted fee is ₱5,000 for properties within Metro Manila and ₱10,000 for those outside the Metro. Contact us today to get a proper quote and tell us about the property – where is it located? Aside from the title, what documents do you currently have? What is the purpose of verifying its title? Any other pertinent info about the property? You can use the contact form on this page. (at the bottom of this page, if you’re on a mobile phone.) How long will it take? If the property is located within Metro Manila and all conditions are favorable, it should take less than 1 month only. If the property is outside of Metro Manila, it may vary greatly with the availability of records we can find and with the responsiveness of the local government offices
concerned. Factors affecting our staff’s ability to travel for the actual site visit, such as the weather, will also matter. It may take anywhere from 1 to 3 months.
TITLE TRANSFER
As with the above title-related services, transferring the title of a property from one person to another, can mean long queues or waiting at different government offices. There’s also the risk of incurring penalties if you don’t do things properly and within the period of time prescribed by law. Or worse, you might be doing it totally wrong. There are different modes of transferring ownership of real estate. Each one requires different legal documents to be executed and there are also different government agencies involved. Different types of properties also require different procedures. If you don’t want to go through all the trouble in knowing all these things, if you want to save a lot of time and effort, and if you want to be sure things are done properly, let our professionals handle it for you. How much is our fee? For properties within Metro Manila, we start at ₱35,000(net of VAT). We also require a deposit of ₱5,000 for ordinary operating expenses like transportation, photocopying, printing, allowances, etc. A full liquidation will be submitted to you together with the Transfer Certificate of Title at the completion of the project. We may also bill you with additional charges for expenses exceeding the ₱5,000 deposit, but you’ll get a refund if the deposit is not all used up. For properties outside of Metro Manila, we start at₱40,000 (net of VAT). The required deposit for the ordinary operating expenses is ₱10,000. Likewise, a full liquidation will be submitted to you together with theTransfer Certificate of Title at the completion of the project. And we may also bill you with additional charges for expenses exceeding the ₱10,000 deposit, but you’ll get a refund if the deposit is not all used up.
These figures are not fixed and may still vary depending on other factors that contribute to the complexity of the case. Please contact us for an appropriate quote. Please Note: Our fees for Title transfer services do not include facilitating negotiations between the parties (transferor and the transferee), especially in case of sale transactions. The drafting and facilitating the execution of the appropriate Deed document/instrument are also separate services which you may avail from us for additional fees. How long will it take? It depends greatly on the mode of transfer, the government agencies involved, and the location and type of the property. Sale transactions are usually faster and the requirements by the government agencies involved are straightforward. Other modes of transfer like donations, entail more documentary requirements and dealing with more governments offices, which translates to taking more time. Depending on these factors, it can take anywhere between 3 to 12 months.
