Requirements - The MUNREB Post

Report
PAREB-Muntinlupa Realtors Board
6th General Membership Meeting
June 17, 2010
Alabang Golf and Country Club
CASE WORKSHOP
Process and Factors to Consider
in Transferring a Title
DISCUSSION
• Overview of title transfer process
• Considerations in transferring of title
– Pre-agency work
– BIR
– RD
– Others
SCENARIO A
Spouses Albert and Barbara Rogers-Carpio, Filipinos,
sold to Mr. Delfin and Elenor Francisco Galo, both
Filipino, their property located at 111 San Bernardino
St., Ayala Alabang Village. The sale was done on cash
basis for Php 21,000,000.
Property details: 2 storey, 3 bedroom house and lot ,
with a lot area of 507 sqm, floor area of 421 sqm.
more or less.
SCENARIO A
Both parties signed the Deed of Absolute Sale on June 17,
2010. The buyer paid the balance in full and turned
over the documents of ownership on the same day.
Each party had their respective real estate brokers.
This is the first time Mr. and Mrs. Carpio are selling their
home, after 20 years of residing in Ayala Alabang
Village. The property had a loan of Php 10M, but it
was fully paid 3 years ago. The annotation on the title
was not yet cancelled, based on the certified true copy
of the title presented to Mr. Galo.
SCENARIO A
Both brokers have agreed to do the transfer of
title and BIR registration together. They
discussed what the requirements are to
document the sale and the transfer of title.
Each broker representing their respective
parties agreed to provide the necessary
documentary requirements.
SCENARIO A
Requirements:
1) List the required steps , in sequential order, to secure the Certificate Authorizing
Registration, and to transfer the title to the new owner’s name.
2) For each stage, and depending if you are representing the buyer or the seller, find
out for purposes of filing and submission to the respective agencies:
a) Essential information from your client required by the various agencies for
purposes of transferring the title
b) Essential information you need from the agencies before you start filing
c)
Documents to be submitted by your client
d) Forms you need to accomplish and file
e) Required payments and computations; identify the payee names for the
check payments and requirements
f)
Deadlines for payment of respective and other documentation
requirements needed for the BIR and the transfer of title and the Registry
of Deeds for each party.
SCENARIO A
Requirements:
3) What questions and clarifications can
you provide your respective party with
in order to ensure that he is ‘safe’ with
his documentation?
SCENARIO B
Mr. Alvin Altamirano, single, and residing in 123
Southvale Drive, Ayala Southvale, Cavite, recently sold
his lot of 550 sqm located at 123 Apo St., Ayala
Alabang Village, to Brenda Bobadilla Baker, Filipino,
married to Bobby C. Baker, American.
The lot was sold at a price of SIXTEEN MILLION PESOS
only, spot cash basis. Closing date and signing of the
Deed of Absolute Sale was June 17, 2010.
•
SCENARIO B
Requirements:
1) List the required steps , in sequential order, to secure the Certificate Authorizing
Registration, and to transfer the title to the new owner’s name.
2) For each stage, and depending if you are representing the buyer or the seller, find
out for purposes of filing and submission to the respective agencies:
a) Essential information from your client required by the various agencies for
purposes of transferring the title
b) Essential information you need from the agencies before you start filing
c)
Documents to be submitted by your client
d) Forms you need to accomplish and file
e) Required payments and computations; identify the payee names for the
check payments and requirements
f)
Deadlines for payment of respective and other documentation
requirements needed for the BIR and the transfer of title and the Registry
of Deeds for each party.
SCENARIO B
Requirements:
3) What questions and clarifications can
you provide your respective party with
in order to ensure that he is ‘safe’ with
his documentation?
DISCUSSION
SCENARIO A: OUTPUT
• Ask Seller if he wants to avail of capital gains tax exemption
• Requirement to cancel annotation on title:
– Letter of cancellation of mortgage from bank where the loan was
availed
– Owner’s duplicate TCT
– Ask for the certified true copy of TCT after cancellation of mortgage
• Essential information from Seller:
– TIN, full name of both spouses (including middle
name), mother’s maiden name, postal address,
birthdays of both spouses, valid government IDs.
SCENARIO A: OUTPUT
• Notarization of deed of absolute sale: both parties must appear in
person during the time of notarization; both parties must be of
sound mind and body at the time of notarization.
• PAYEE NAMES: for capital gains tax (in Manager’s check form only):
BPI South FAO [for the account of] Bureau of Internal Revenue IFO
[in favor of]Seller’s Name + TIN No.; for documentary stamp taxes:
BPI South FAO [for the account of] Bureau of Internal Revenue IFO
[in favor of] Buyer’s Name + TIN No.
• Other documents: Certified true copy of title; acknowledgement
receipts
• Refer to BIR docs list
SCENARIO A: OUTPUT
• Registry of Deeds, required documents:
– Deed of Absolute Sale (DOAS) with BIR stamp
– Tax clearance
– CAR
– Original TCT for transfer
• Pay transfer taxes: DOAS value x 75% of 1% , paid within 60 days from
date of DOAS notarization (can be paid ahead of securing CAR, for as long
as you can present claim stub + notarized deed of Sale)
• Pay registration fees (based on table from the Registry of Deeds); MC
payable to “Registry of Deeds Muntinlupa”; for computations call Yolly
Ybarle@ Registry of Deeds, Tel. # 861-1131
• Documents required to transfer the tax declaration in the name of the
new owner:
– Photocopies of the ff: new title, notarized DOAS, CAR, current tax declaration, tax
clearance
SCENARIO A: OUTPUT
• HANDLING PROFESSIONAL FEES PAYOUT:
– Broker should ask permission from the SELLER if
the buyer may aportion the broker’s PF in the
breakdown, i.e. schedule of payments to the
SELLER.
SCENARIO B: OUTPUT
• SELLER:
•
•
•
•
•
•
Name, address, bday, TIN #; photocopy of valid government IDs of all parties
(preferrably original signed for clearer signature)
Check if association dues are fully updated
Provide co-broker with xerox copies of title, tax declaration; it is suggested that the
buyer’s broker secure the certified true copies of title and other documents of property
ownership to protect the buyer’s side.
Secure form 1904 (Appllication of Registration--for TIN verification of both parties)
Documents for BIR to secure the CAR: DOAS (Notarized), certification of no
improvement, which is issued by the Assessor, form 1904, form 2000-OT, form 1706,
manager’s check payments for Capital gains tax, documentary stamps taxes. NOTE:
Each accredited bank branch has a different payee name. Check it out with them.
Accredited bank branches for BIR Muntinlupa include BPI Insular Life, BPI South (South
Supermarket), Chinabank along Acacia Ave.
SCENARIO B: OUTPUTS
• BUYER’S ESSENTIAL INFORMATION and documents on hand
for RD:
–
–
–
–
DOAS with BIR stamp
Original TCT for transfer
Tax clearance
Foreign spouse in a mixed marriage: before, waiver of foreign
spouse was required. This requirement was revoked
– Transfer taxes must be paid within 60 days from the date of
DOAS notarization
– NOTE that single buyer status is not critical; to note for this case,
it’s more important to address the status and declaration of
Filipino married to a foreign national
VARIATIONS ON OWNERSHIP, WITH
FOREIGN SPOUSE
• Legally a foreign spouse owns 50% of the
house.
• Question: What if the Filipino spouse passes
away, and there is no will?
• Answer: As exception, foreign spouse will
own the property thru intestate succession
OTHER MATTERS
CLOSING REMARKS

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