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The Legal Side of Real Estate


rickyv

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hello po mga sir,

 

hingi lng po sana ko ng konting info.

 

i'm about to buy a lot in a subdivision (resale). the seller is legit and the lot has been fully paid for but has not been transferred to his name yet. we've also agreed on the price and that payment would be made in cash. however, i work abroad and won't be able to get back to the philippines until july. the seller is proposing that we make the transaction asap with a deed of sale and transfer of title would be made when i get there. is it advisable to proceed with the transaction even though i'm not there and what are the steps that need to be followed? i would greatly appreciate your advice and opinions.

 

many thanks.

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I am planning to purchase two adjacent lots (Lots 1 & 2) and have some questions.

 

Lot 1 is titled under the name of a deceased person. The deceased owner is survived by his wife who is now in the US. They have no children. The wife has executed a Special Power of Attorney (SPA) in the US designating her niece (daughter of eldest brother of the deceased) residing in the Philippines as her Attorney in Fact for this purpose. I am awaiting the document now. An extra judicial settlement of the estate of the deceased will be made.

 

Lot 2 is titled under the surviving brother of the deceased person above. He and his wife are both in the US. He has already executed an SPA designating his sister residing in the Philippines his Attorney in Fact for this transaction.

 

I have made the following conditions for the sale to take place:

a) that Lot 1 has to be extra judicially settled and that the wife is designated by law to have the legal authority to sell the property to me and

B) for both Lots 1 & 2, for the Seller and his designated Attorney in Fact (in both instances) to agree to sign a liability clause in the Absolute Deed of Sale as follows:

 

" SELLER and his designated Attorney-in-Fact frees the BUYER, his heirs and assigns of any and all liabilities and SELLER and his designated Attorney-in-Fact assumes all responsibilities for claims, damages and expenses should any arise after the execution of this Absolute Deed of Sale from creditors, heirs and other persons opposing the sale of the above property. "

 

Have covered all bases, so to speak, for this sale of property? So not, I would appreciate comments, suggestions, inputs from you dear sirs in the know on real estate legalities. Thank you and have a nice day.

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Just an update on our planned separation of lot titles. Apparently, we could not go on as planned since the Mother Title was misplaced/lost. Is there any other way to go through this, legally of course? My mother plans to delegate someone to go through the bureaucratic process. Is it possible to acquire a new copy of the Mother Title?

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Just an update on our planned separation of lot titles. Apparently, we could not go on as planned since the Mother Title was misplaced/lost. Is there any other way to go through this, legally of course? My mother plans to delegate someone to go through the bureaucratic process. Is it possible to acquire a new copy of the Mother Title?

 

If you misplaced your Owner's Duplicate, you can apply for the issuance of a 2nd owner's duplicate - file the petition in court. This is of course assuming the original title is in the custody of the Register of deeds

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  • 3 weeks later...
  • 2 weeks later...

mga master question lang po. i recently entered into a 'contract to sell' agreement with a condo developer. in-house yung loan ko ngayon kaso natataasan ako sa interest ng developer eh mukhang mas attractive ang rates ng PAG-IBIG. nagpapaloan ba ang PAG-IBIG kahit contract to sell lang ang hawak ko? baka po alam nyto ung proseso. tnx.

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elow po...

 

gudam...

 

weve got this house & lot in our province in which my parents would like to sell para mkbli ng lot d2 mnla...

 

d thing s, ala kmi idea on what to do step by step, or hu to approach...

 

patulong nmn po...

 

pm nyo po me pls...

 

tnx.

 

 

start with having the original TCT, Tax Declaration and official receipt of RPT payments.

 

if you have this then the buyer and you have agreed to the sale price, then you will need to execute a Deed of Absolute Sale.

 

Go to the BIR and have the Doc stamps and CGT assessed and pay them

Go to City Assesssor to assess the transfer tax and pay it.

 

Once you can present tall ax payments, BIR will issue the Certificate Authorizing Registration (CAR)

 

You need to bring this (CAR) to the Register of Deeds where they will issue an annotation to the old title. You can request also that a new title to be issued to the new owner.

 

You have to discuss with the buyer how you can split the payment of the transfer tax, doc stamps and CGT. The taxes are assess based on the Deed of Sale, so may kamahalan din.

 

Of course, baka humingi din ang BIR at Registry of Deed, d maiiwasan yan.... Ganyan ang kalakaran dito.

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This scenario would only play out if you are sure the buyer would already pay for the property. You as the seller would already go through the transfer of the title, how about the payment. The buyer would not probably give the whole amount unless everything is in place, but why would you transfer the title to the buyer if you have not received the total amount. The buyer also would not give you the sale price if he is not sure you will pay the capital gains, doc stamps and local government transfer tax. Probably better to just get the net price and let the buyer pay for all the taxes necessary, that way, you could just execute the deed of sale and the buyer takes care of everything else.

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This scenario would only play out if you are sure the buyer would already pay for the property. You as the seller would already go through the transfer of the title, how about the payment. The buyer would not probably give the whole amount unless everything is in place, but why would you transfer the title to the buyer if you have not received the total amount. The buyer also would not give you the sale price if he is not sure you will pay the capital gains, doc stamps and local government transfer tax. Probably better to just get the net price and let the buyer pay for all the taxes necessary, that way, you could just execute the deed of sale and the buyer takes care of everything else.

 

 

 

you can't change the name in the title without the CAR --- this goes for purchase of land or stock/shares of corporations. it's always assumed that in such transactions, both parties (ie., buyer and seller) are acting freely and in good fate.

Edited by masi
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The buyer will get the CAR after he pays the capital gains tax. That's why the taxes are already excluded from the sale price. If you are the buyer, it will not be advisable to rely on the seller to pay the CGT, and if you do rely on him to pay it, you would have to withhold paying the whole amount, as you could be left having to pay the CGT yourself even if you have an agreement for the seller to shoulder it. This is just to protect yourself, it costs a lot of money and takes a lot of time to compel performance of obligations here in the Philippines.

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good advice moed.

 

Another option for buyer is to hold on to say 10% of the total selling price and give it to the seller once he shows the receipt of the CGT payments. Better yet, have someone trusted or the buyer himself accompany the seller to the BIR for assesment and to the bank where he pays the CGT. Kaliwaan style.

 

Another variation for buyers...issue the payment to the seller less CGT, dox stamps, etc. Tell the seller you will take care of the BIR payments so that processing of the transfer and registration of the title will be faster. As the buyer, it is in your interest to have the title transferred to your name asap. For sellers, letting the buyer pay the capital gains tax, dox stamps is a time saver (hindi ka na pupuntang BIR,etc.). Just make sure everything you agreed on is put to writing.

 

Other arrangements can be as long as both buyer and sellers agree to it and all done as what masi said..in good faith.

Edited by Bad_Wolf
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