Buying or Selling Land or a House

1. Check the Property Before Any Money Changes Hands

   Ask the seller for a photocopy of the title and get a Certified True Copy from the Registry of Deeds yourself. Look on the back for mortgages, claims by other people (adverse claims) and other notes (annotations). Check the Tax Declaration and that the real property tax is paid.

   • GuideChecking land before buying
   • GuideReal property tax (amilyar)

2. Agree on the Price, the Payment and Who Pays Which Cost

   By law the seller pays the capital gains tax and the local transfer tax, and the buyer the registration fees, unless you agree otherwise. Put what you agree in writing. A reservation fee or earnest money should come with a receipt. Paying in instalments needs a Contract to Sell.

   • TemplateReceipt of Earnest Money
   • TemplateContract to Sell
   • CalculatorProperty sale costs calculator
   • GuideDeed of Sale costs

3. Sign the Deed of Absolute Sale Before a Notary

   All the sellers sign, with the spouse of a married seller. Everyone appears before the notary with a valid ID. If a seller is abroad or cannot appear, they sign a Special Power of Attorney for someone to sign for them.

   • TemplateDeed of Absolute Sale
   • TemplateSpecial Power of Attorney to sell land
   • GuideSpecial Power of Attorney
   • GuideGetting a document notarized
   • Notary priceNotary fee: Deed of Sale (land or house)

4. Pay the BIR Taxes and Get the eCAR

   The capital gains tax (6%) and the documentary stamp tax (1.5%) are paid on the higher of the price and the zonal or assessed value. Both have short deadlines that run from the date the deed is notarized. The BIR then issues its go-signal for the transfer, the electronic Certificate Authorizing Registration (eCAR).

   • CalculatorProperty sale costs calculator
   • CalculatorTax deadline calculator for property sales, gifts and inheritance
   • GuideDeed of Sale costs

5. Pay the Transfer Tax and Register the Sale

   Pay the local transfer tax at the provincial or city treasurer, then bring the eCAR, the deed and the receipts to the Registry of Deeds. It cancels the old title and issues a new one in the buyer's name.

   • GuideTransferring a land title

6. Update the Tax Declaration

   Bring the new title to the city or municipal assessor so the Tax Declaration is put in the buyer's name. From then on the real property tax bills go to the buyer.

   • CalculatorReal property tax calculator
   • GuideReal property tax (amilyar)

Not legal advice. This is general information. For advice on your own situation, consult a lawyer. If you cannot afford one, the Public Attorney's Office (PAO) or an IBP legal aid office may help for free.

Government fees, rules and requirements change, so always check with the office concerned before you go. Last reviewed October 8, 2026.