Wednesday, January 29, 2014
Acquiring real estate property is a legal transaction that needs proper legal procedures and documents. One of the most essential legal steps for a property buyer is land registration. Know the basics and procedures for proper land registration to ensure a smooth property acquisition.
Registering your property enables the transfer of the title from the property seller to you to take place. The registration of sale and transfer of the property should be made at the Register of Deeds Office with due jurisdiction over your property’s location.
After registration, you will be issued an Owner’s Duplicate Copy of the Transfer Certificate of Title (TCT) for houses and lots, or an Owner’s Duplicate Copy of the Condominium Certificate of Title (CCT) for condominium units. This will serve as your evidence as the newly registered owner of the property.
A public record of the title will also be available at the Register of Deeds for interested buyers to see.
Land registration starts with a stringent process of tax payments and procedures with the Bureau of Internal Revenue (BIR). After paying the transfer fee and acquiring a Tax Clearance, you must submit the following documents to the Register of Deeds:
An original copy of the Deed of Absolute Sale stamped received by the BIR, with three photocopies.
- The property seller’s Owner’s Duplicate Copy of the TCT or CCT.
- An original copy of the Certificate Authorizing Registration (CAR).
- An 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.
You will then be required to pay a registration fee based on the gross selling price, after which you will receive the Owner’s Duplicate Title within five days.