Tuesday, July 7, 2015

How to Transfer a Condo Title in Philippines

So, property in PH is not about location location location.  It's about tax tax tax :)
But hey, it's okay.. let's pay!
This is the least we can do to enrich the rich err, our conscience and feed the fed ups..haha let's get positive oki?

Olrayt, to those of yah who are newbies in condo investment, here are Tips to guide you on how to transfer your Condo Title, just don’t forget to give me a $tip when you’re done :)

It is vital that before you bungee jump on your dream home, you must exert due diligence to know the basic facts in buying a property in the Philippines.  Else, Internal Rev may slap you with penalties for ignorance.  

The first thing to note apart from the documents needed to transfer the Title, is the timeframe in paying the taxes and other dues from different government agencies, particularly the BIR (Bureau of Internal Revenue).

After notarization of the DOAS (Deed of Absolute Sale),  the clock starts clicking for
DST (Documentary Stamp Tax) - must be paid on or before the 5th of the following month
CGT (Capital Gains Tax) - within 30days after notarial
If you miss the deadline, please know that mercy is not Tita Kim’s name (Kim Henares, BIR Commissioner).

To Transfer the CCT (Condominium Certificate of Title) @RD (Registry of Deeds), the following are required:
  1.  Notarized DOAS (Deed of Absolute Sale) 
  2. CAR (Certificate Authorizing Registration) @BIR
  3. DST Receipt@BIR
  4. Tax Declaration - certified true copy @Assessors
  5. Owners Duplicate Copy of CCT 
  6. Real Property Tax Clearance@City Hall 
  7. Transfer Tax Receipt@City Hall
  8. Management Certificate @Condo Administration
  9. Payment of Registration Fees @RD
    1. 0.25% of Selling Price
    2. Miscellaneous fees
  10. Submit all documents to RD Officer and wait for processing time.
  11. WAITING PERIOD:  3 weeks to 1month (may vary in other cities)
To secure CAR @BIR 
  1.  Notarized DOAS
  2. Tax Declaration - certified true copy
  3. CCT- Owners duplicate copy / certified true copy
  4. Previous CAR from Seller
  5. Affidavit/Certificate of Non-rental
  6. TIN of both Seller/s and Buyer/s
  7. BIR computation sheet for CGT, DST 
    1. CGT = 6% of Selling Price or Zonal Value whichever is higher
    2. DST = 1.5% of Selling Price
    3. Payment Forms - P100/- or more 
  8. Payment to accredited Banks.  
    1. If in Taguig, the nearest Bank is BPI.  Take note the Bank's cut-off time is 2pm 
      1. Other branches accept payment up to 3pm
  9. Submit all documents to BIR Officer and wait.
  10. WAITING PERIOD:  Min10 Days.  Max-unknown
To pay your Local Transfer Tax@City Hall
  1.  Notarized DOAS
  2. Tax Declaration - certified true copy
  3. Local Transfer Tax = 0.50% up to 0.75% of Selling Price or Zonal or Fair Market Value whichever is higher
  4. Some cities also collect City Tax

While faithful and diligent Real Estate Brokers can help in many ways to guide you in property transactions, it is always in the Buyer’s best interest to know the procedures, requirements as well as payments due in perfecting the ownership of your newly purchased property.  So be in the know.

I am sharing this guide to help others who may need first-hand information and the latest update on Condominium Titling and related subjects.  Facts and figures are based on my recent transactions in Taguig City, Philippines in June 2015.

Thank you BIR, RD, City Treasury .. I love my Taguig!

WilmaBV
Property Mgr-Dubai certified
Licensed Real Estate Broker
Licensed Real Estate Appraiser 



96 comments:

  1. Can they transfer the title of the condo without signature of the owner.

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  2. Yes, if there is an SPA. Otherwise, no.

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  3. If a person is selling his/her new unit but still don't have the CCT yet, what are the requirements and what to do?

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    Replies
    1. hi Ram, it depends po..if you are still paying your equity (D/P on installment), then you need to pay around 300k to developer to change name of owner. if fully paid ka na kay developer via bank finance then you will have to pay bank and sign a deed of assignment in favor of your buyer, then bank executes a deed of absolute sale to buyer where the latter can register the title to RD in his/her name. but that is the case if buyer pays full in cash.
      in case of assumption -- buyer assumes your balance in bank-- then subject to bank approval po ang credit standing ni buyer.
      hope i was able to answer. thanks!

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    2. same din po the case with developer(if ur still paying instalment DP), if buyer assumes your outstanding balance, subject to approval ni developer and credit standing ni buyer

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    3. clarification for the above--you execute a deed of assignment only if title is not yet transferred to your name-- otherwise once you (or buyer) pays bank your full outstanding balance, then bank will release the title to you or directly to your buyer and u execute a deed of absolute sale so buyer can now apply to transfer the title to his name

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    4. Hi,please enlighten me

      - bumili ako ng condo RFO brandnew unit including the processing fee through pagibig installment. Do I have still pay taxes with BIR? Can you give me a detsil summary of computation.Total price around 1.6M processing fee 1.3k how kuch would all the taxes need to pay? Thank you sa so kich

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    5. hello po, you will start paying your real estate taxes once property is already transferred to your name.

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  4. If you are interested in selling or buying a condo unit, check out Cebu realty services to see more information.

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  5. Thank you! your blog is much more helpful than BIR website! lol

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    Replies
    1. hello po, thank you for your kind words. it warms my heart
      glad to be of help!

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    2. BIR web is helpful but you just need to know where to find and what to ask po ;)

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  6. How much would this all cost the buyer?

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    Replies
    1. hi charles, you may safely peg the transfer cost at about 10% of selling price

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  7. Is that okay that they only give to me contract to sell instead of deed of sale ?

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    1. only deed of sale or DOAS is the proof that you already fully paid the property. contract to sell only if not yet.

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    2. contract to sell is given if you buy the property on installment ..
      but if you buy in full cash payment then seller executes a deed of absolute sale
      hope that helps po

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  8. Just bought home in Nuvali with my Filipina wife. Plan to live there at least 6 months a year...maybe longer. Still waiting on title. Would love to meet you someday since I find your blogs very useful. Also love Pasay. Have stayed there several times and also in Makati. USA almost too expensive for this retired school administrator.

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    Replies
    1. thanks Chalmers, great idea to move to nuvali with wife and hopefully bigger family! i would love to meet your family as well, in the near future, perhaps when everything is back to normal

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    2. hello Chalmers, happy new year to you and wife. hope you got your title by now

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  9. paano po pag wala pa sayo ung title ng unit pero dmo na kayang ituloy? sa april 2020 po kasi ung lumpsum. and turn over is on May 2020. meron pong gustong bumili ng unit, pano po gagawin?

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    Replies
    1. In this case, only transfer fees ang required bayadan sa mismong developer. DMCI Sheridan ba 'to? :)

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    2. you will have to pay (usually) 300k kay developer but subject to approval din ni developer si buyer mo since sya magpatuloy ng contract mo, unless buyer pays in full spot cash then developer will not bother check ur biyers capacity to pay

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    3. also prior to turnover of unit, you are required to pay the lumpsum, which is usually via banks or pagibig, but PLS TAKE NOTE that if u miss to pay the lumpsum on time, there is a monthly penalty of 3% of the outstanding balance so better be ready w your financing months before the turnover time or else us be crying in the rain🥲

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  10. 1 condo unit was paid for more than 4yrs and until now we haven't received the certificate of ownership, check RD no processing has been made we keep on asking and everytime we call they keep on telling us it still in BIR. Please help us what to do.

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    1. hi good morning, kindly be specific po.
      u mean u fully paid to a) developer--meaning this condo was purchased brand new from developer)? and not from b)another owner (meaning second sale)?
      magkaiba po kasi ang proseso. but in the case of item a)-- if you bought the condo via project selling ni developer--sila na po magrelease ng cct nyo
      in the case of b)--u purchased from another owner-- PLS REFER TO ARTICLE ABOVE..the waiting period ni RD is 1month lang o maybe a bit more but not 4years!
      PLS REFER THIS TO YOUR BROKER, the latter is duty bound to protect your interest as his/her client. ultimately it is his responsibility to inform and advise you of the intricacies in title transfer.
      in case you still need help, pls email me at wilmacookie@gmail.com
      God bless

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  11. Hi. just a suggestion. if its in the BIR. ask what is the problem in the BIR that took it so long.

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  12. How much it will cost the whole process of transfer of title? Thank you..

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    1. i mentioned po in the article the ff %:
      cgt 6%
      dst 1.5%
      transfer tax .75%
      city tax ,etc
      so approx 10% of selling price safe na kayo dyan

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  13. Interested dn ako malaman ung approx total. Halimbawa 2M. Mga magkano po?

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  14. Hi to everyone and sa nakaka read ng message ko =)

    I have this condo in mckinley hill fully paid ko na siya kay developer since Naka Bank financing ako almost 2 years ko na siya nagagamit. Then now I have a buyer na sa unit ko, I am wondering lang kasi sa mga naririnig ko na 300k daw Yung transfer fee? Tama ba and kanino ko ba yun babayaran ka developer or sa BIR?

    Please help!
    Thank you and stay safe everyone =)

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    Replies
    1. hello, u only pay the 300k to developer if di ka pa bayad sa kanila but since you are now covered by bank finance meaning fully paid ka na sa developer but now may utang ka kay bank so u transact w ur bank. if unpaid ka pa kay bank and u are selling your condo, u will have to pay the bank and execute a deed of assigment for the new owner. then si new owner na ang magtransact kay bank to execute a DOAS so as to transfer the title in his/her name na

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  15. How much usually is the amount on transferring title/ownership of Condominium?

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    1. it varies po in cities but you may peg at about 10% (more or less)of selling price ng condo

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  16. All taxes, transfer and registration fees have been paid. CCT in the name of the Buyer is ready for release. However, Register of Deeds is withholding the release of the CCT pending submission of the Management Certificate. Is there legal basis for withholding release of the CCT? Duty of Register of Deeds is ministerial!

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  17. Question: why RD need the Certificate of Management (COM) from building admin? What's the connection of this document in transferring ownership?

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  18. hello po, RD requires the COM from bldg admin to ensure the said property is freed of any obligations before it can be transferred to new owner po

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  19. pasensya po many questions were left unanswered, naghibernate po kasi ako😍😁

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  20. how much po ang transfer fee to a condo unit sold for 1.450M Marikina City po, thanks!

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  21. hi Dino,
    it depends po sa city, but as mentioned above, you may peg at about 10% of selling price or zonal value whichever is higher. thanks for the question po hope i was able to satisfy

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  22. plus the cost of real property tax if this is unpaid pa po during the transfer, but this is usually paid by seller

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  23. I bought a condo and already paid my dues sa BIR, waiting for CAR nalang. After nun ano pa payment na babayaran and ano na next steps? U mentioned about transfer taxt. Lets say around 1.4M ko nabili. And paid about 200K sa BIR. Magkano pa babayaran ko sa RD or Cityhall?

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  24. hi Ken,
    you will pay to RD.25% of selling price or p3500 po
    sa city hall naman depende but its not that much unless hindi pa paid ang RPT yan lang yung medyo malaki

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  25. local transfer tax is about .50% up to .75% of selling price, and some cities are also collecting city tax po
    hope that helps.
    thanks,
    cookie

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  26. Hi Wilma,

    My sister & I agree to buy a condo unit in SMDC and signed a Contract to Sell. During that time were single only. The turnover is in April 30, 2021. I am working on the bank financing and then the bank ask as to update the Contract to Sell to include our husband as Principal Owners. Do we need to pay SMDC Php300,000 to change the Contract to Sell? Thanks

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  27. i dont think so po mam Jane, as you acquired the property before the marriage (so no need to pay 300k to smdc), but then the bank needs to include husband as it now becomes your 'absolute community of property' --thou im not so sure about 'absolute' ownership as you acquired this before marriage (better seek legal advise for clarity as i dont hv legal background...hardy passed my law 111 (obligations & contracts) subject;) ) between husband and you, as both of you are now under obligation to pay the bank.

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  28. Hello, Notarized COM po ba ang kailangan ng RD?

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  29. Am planning to sell my condo unit due for turnover Q42021. Am still paying for my monthly installment and balances due by Q4. If someone buys and I transfer the ownership before TO, will I pay CGT? Am confused , because I read somewhere that I just need to pay transfer fees but when I inquired from the developer, they said I may pay capital gains tax?

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  30. you pay CGT only if the title of the property is already in your name and you transfer it to the buyer, but since you are still in installment stage of your equity which is prior to turn over, then what you will pay is the transfer of name only (to the developer) but not the CGT (which you pay to BIR)

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    Replies
    1. Hi this related to my question too.

      I buy RFO unit for installement with pagibig for 20 years. When Will I pay CGT? when i fully paid it to pagibig after the tenurity?

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    2. I buy RFO UNIT condo and im on my montly amortization payment with pagibig po for 20 years. Do i need to pay na po ng CGT? Or after I fully paid na po kay pagibig? TIA

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    3. It's the Developer that usually pays the CGT when you buy it from them, so you pay only the CGT to BIR when you sell your property

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  31. Hi Ms Wilma. My mom is selling her condo to her sister in law, we started with the process of transferring the tile. Paid na in BIR, kaya lang we needed COM from CondoPMO, kaya lamg they don’t want to release the CoM kasi they want us to offer the condo to the developers first, and wait 15 days if they will reject our offer. And if they reject the offer we have to wait another 15 days because they will offer it to other condo unit owners. Is there a law that says that we are required to do this?

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  32. if there is a clause in the contract that says your developer has "Right of First Refusal" then you are bound to honor that. it means the condo must be offered to them first

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  33. but i guess you can negotiate with the developer lang, konting lambing lang po yan

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  34. Na submit na po namin kay developer ang lahat ng requirements namin sa pag transfer ng ownership. Normally, How long will it take po?

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  35. Hi ms. wilma! we have this condo under bank financing pa pero may CCT na si bank undrr our name, paano ang process kung ibebenta na namin ang unit? same pa rin ba na pipirma lang kami ng deed of assignment sa bank?

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  36. you wil have to pay in full your bank balance para magbigay ng clearance si bank, thereafter u can execute a deed of sale kay buyer then buyer applies for transfer of title to his name, follow the procedure as listed in this article

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  38. Hi Ms. Wilma, I received a photocopy of DOAS signed by developer and notarized. The condo is still under financing. Should I already start the process with RD or can I only start once I've fully paid the financing?

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    Replies
    1. hi Jinnie good morning,
      you cannot have a DOAS (Deed of absolute sale) if under financing pa, maybe that is a 'Contract to sell' if under direct in-house financing ni developer

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    2. under which financing po ba ang condo nyo? in-house or bank?

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    3. thanks for reply Ms. Wilma :) it is under bank financing na po so it means paid na ako kay developer right? I should clarify I have no intention to resell the condo, so does CGT apply or RPT lang po? And when do i start becoming liable for RPT? Thanks <3

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    4. yes paid ka na kay developer as bank paid in full already so kay bank ka na may utang..you pay rpt once full ownership is transfered to your name na po.

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    5. the developer said they will send me an original copy of the DOAS and process the issuance of CCT in my name. once those are finalized, considered na pong I have full ownership? thanks again, just don't want to be late in paying RPT ^_^

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    6. hi Jinnie,
      yes once fully paid ka na kay developer via bank finance, they will release the CCT in your name but the orig copy goes directly to the bank. and yes you already have possession/ownership of the property but well, not really full ownership yet as the bank keeps the ownership until you fully pay them. klaro po? so make sure to pay your monthly obligations on time as successive default in payments might forfeit your property

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  39. Hi po,

    Paano if dalawa yung owners ng isang comdo unit then ngayon gusto na nung isa na ilipat ang CCT solely dun sa isa without any sale or exchange of money. Sa kanya nalang. They are single when the condo was purchased, now yu ng isa married na and siya yung gusto tanggalin na yung name niya sa CCT. How is the process?

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  40. hi Marie,
    there are many ways to transfer ownership of properties, could be via donation, exchange,
    etc apart from sale, but best to hire a real estate lawyer to handle your case para wala pong sabit

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  41. hi mam,

    i have a studio unit in one oasis pasig, fully paid na po xa but i have yet to receive the condo title and other documents from the developer dahil nasa final audit pa raw. tpos may buyer na po ako and they're making a bank loan for the purchase. may i ask what are the steps na pwede ko masundan in pursuing the sale? and what are the fees, taxes or charges na ako dapat ang magbayad as seller at anu naman ang kay buyer/ bank side? thanks in advance

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  42. hello architect mark,
    you may proceed with sales negotiation with your buyer/s whilst awaiting release of title as im sure develper will provide assurance. meanwhile let ur buyer apply for bank finance as that takes time as well. bank will just get dox from your developer. fees are usually agreed by both buyer and seller but the latter normally pays property taxes , condo dues etc, while bigger chunk of fees ie CGT , stamp tax etc is usually on account of buyer..but you need to be specific on these right at the onset of the transaction para klaro po.
    hope that helps.
    thanks for your message

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  43. Hi mam,

    Ask ko lng po kc my unit po kmi sa cubao for turn over on 2023 dp pa po ung binbayadan namin, binebenta n po namin at my buyer n po, ano po documents and proseso para po un ng buyer ang mag tuloi
    Thanks po

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  44. you need to advise developer for the change of name and you will need to pay that, tsaka for approval din ni developer ang buyer mo

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  45. Hello ma'am Wilma,

    ask lang kung yung mga babayaran ba is fixed ung mga percentage. For example 2,350,000 ang price it means imu multiply ko lang sa 6% para sa capital gains..etch?

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  46. yes po, cgt is 6% of selling price or zonal value whichever is higher

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  47. Hi Miss Wilma. i'm so happy to read this helpful blog as I was looking for a few answers. Almost 3 years ago when I was out of the country, i decided to rent out my condo while I was away. Now, I'm planning on selling my unit here in taguig. Will I have a problem with the certificate of non tenancy? Will I have a problem with that one time rental? I hope you will get to read this. Thank you

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  48. hi Eva, sorry for my late reply, been so busy around. I dont think you wil have a problem with a one time rental, unless maybe if it is currently tenanted and tenant doesnt want to leave.

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    Replies
    1. Hi Ms Wilma. Have a buyer for our condo in Taguig. just got the Cert of non tenancy from the admin which says it is not tenanted since Oct. Will this be a problem? Similar to the poster above, was out of the country and had a 1 time tenant then. Also, may I ask why they ask for Cert of non tenancy?

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    2. the obvious reason is that buyer wanted to be assured that nobody is occupying your unit if indeed they want to buy and move-in right away.

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    3. also because if your unit is currently tenanted, they may find it taxing or unnecessary stress if occupants are difficult to handle, if you know what i mean?

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  49. Hello Ms. Wilma

    Thank you for sharing this helpful tips.
    I also have a concern. We bought a Condo at Filinvest , the title is already in the name of the owner, not the developer, can you recommend someone who can process the transfer at a minimum cost ?Thank you so much.

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  50. please state your location so i may be able to recommend suitable service provider/s

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  51. Hello po Ms. Wilma, tanong ko lang po ung procedure sa pag transfer ng ownership kasi balak po ko na po ibenta ung condo q which is under bank financing pa, hindi pa po fully paid... Ano po ang step by step kasi meron na po akong buyer eh... Salamat po...

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  52. similar questions have been asked above but anyhow, if buyer is paying all out cash then no problem, just let the buyer or you pay (using buyer's monies) the outstanding balance so bank will release the title to you or to him directly as buyer would probably be present when you do full payment at the bank for release of the CCT.

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  53. but in case buyer wants to assume the balance, then that is another meticulous procedure as bank will have to approve the financial standing of your buyer so they may or may not approve

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  54. after full payment of all outstanding obligations, and bank signs the deed of absolute sale and release the CCT, then buyer may now start the process of transferring the condo title to his/her name. with that, just follow what is written in this article above.
    thank you and God bless.

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  55. Good evening po. Kasi po may niloloan ako dito sa L'Oasis Condo, ask ko lang po kung magkano po nagrerange ang transfer of ownership based on your experience po and kung si buyer po ba ang magshoshoulder. Sinisingil po kasi kami ng 42k and may resibo daw from Pag-Ibig. And I think that it's too much po. Hoping for your advise in this matter. Thank you po.

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  56. hello Elaine,
    pls backread na lang po as this article is precisely regarding the cost of transfer

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  57. as to who will shoulder the cost of transfer, CGT and DST is usually the seller's expense, pero depende pa rin po sa usapan nyo ni buyer. so usually si seller naman ang magset ng rules

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