Buying Land In The Philippines Part 6: Tax Declaration in Buyer's Name

Buying Land In The Philippines Part 6: Tax Declaration in Buyer's Name

Posts in This Series:


This is the sixth part in the series about buying land in the Philippines. As always, nothing you read here is to be taken as legal advice or professional guidance. This is our personal experience that we are sharing with you. So caveat lectorum.

Documents Required By The Municipal Assessor For Issuance Of A New Tax Declaration: 

New Certificate of Title

Obtained from the previous step.

Deed of Sale

It is a good idea to have multiple copies of the DOAS notarized with original signatures at the time of execution.

Transfer Tax Receipt

The Transfer Tax Clearance fee is paid first to the Provincial Treasurer who issues the receipt.

BIR CAR/ Tax Clearance Certificate

Obtained from the Bureau of Internal Revenue.

DAR Clearance

Obtained from the Department of Agrarian Reform.

Real Estate Tax Clearance

Obtained from the Municipal Treasurer.

Technical Description

Obtained as a deliverable from the surveyor if you had the lot subdivided

Otherwise, the Technical Description can be obtained from the Land Management Bureau.

Certified True Copy of the Subdivision Plan (Blue Print)

Obtained as a deliverable from the surveyor if you had the lot subdivided

Otherwise, the Subdivision Plan can be obtained from the Land Management Bureau.

Special Power of Attorney

Required if the applicant is other than the buyer. 

sample SPOA


Submission Of Documents

  • We submitted only original documents.
  • Never leave your paperwork or any money without receiving an official receipt.
  • Never use fixers or people who say that they can expedite paperwork.
  • We also had the Assessor stamp "received" on our copy of each document that we submitted.


The Bottom Line 

It is very important to acquire an updated copy of your landholdings from the Municipal Assessor every year. This is how you can know that your land is secure in your name and that no one has changed it by error or otherwise.


Anonymous said...

Thank you for these postings. You help me a lot already!

7984ca said...

I am interested in buying a property that only hold a tax declaration. Is there a way to know if the land was not sold twice? Thank you

pd said...

Land with only a tax declaration.

Remember that we are no one special and we have only limited experience buying our own land. So we are not experts or attorneys and this is all just our opinion and maybe we are wrong.

I think there are some very good comments on this reddit:

Here is what I would do.

Personally, I would avoid land that only has a tax declaration. There may be circumstances where you know the person and the reason for there being no title available and this might make you more comfortable getting involved in that kind of situation.

Most of the time it is not a good idea.

But lets say that we throw caution to the wind and our better judgement and let our heart lead the way because we really have to have this plot of land that only has a tax declaration.

I would first check with the municipal tax assessor to get a copy of the tax declaration directly from them and check it against the one presented by the "seller."

Next I would get a copy of the map (if there is one) from the Land Management Bureau so I would know exactly what the boundaries are.

Then I would check Registry of Deeds to see if there is really no title.

Let's say all that checks out and there really is no title.

Since there is no title someone has to pay for the title process to get the land in the name of the person selling it to me. Who pays for that? Probably me since if the "seller" had money he would already have a title.

Then I have to pay my own titling process.

so I pay twice

let's say since I love this plot of land so much I go through all of that torture

maybe now someone else shows up and contests my title

Too many dangers and unknowns for me to mess with land that only has a tax declaration and no title.

just our opinion

pd said...

This reddit is even better:

If hat does not scare the casual buyer away from untitled land nothing will.

Skilled buyers can make anything work though. You just need to know what you are doing.