TCT Title Transfer

Annotation Steps

and

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As promised, here are the steps in a TCT transfer and
annotation. To get this far in your search, I assume
you are now familiar with which home loan provider to
get, what the steps are in a home loan, as well as
the basic definitions of TCT, title transfer and
annotation.
I am writing this to serve as a friendly guide to you as
based from my experience and not as legal or real
estate broker advice. Once youve read these steps,
hopefully you are not lost in the dark when you
discuss
these
matters
with
your
broker/agent/developer. Anyway, it is usually the
broker or the developer who facilitates the title
transfer, but just the same, it does not hurt to
be informed. (Note: CTC transfer might have steps
that
are
not
covered
in
this
post.)

1. Prepare the Documents: By this time in your

buying-a-property or getting-a-home-loan phase, you
should already have copies of most if not all of the
documents listed below. Be prepared to photocopy
these
as
you
go
along
the
process:
From developer/seller

Copies and Original Signed and Notarized Deed

of Absolute Sale (DOAS)

Photocopy of Developer License to Sell

Photocopy
of Developer
Registration

Photocopy
of Expanded
(EWT) payment

Certificate

of

Withholding

Tax

From buyer

Certified True Copy of TCT (from Registry of

Deeds; this is a photographic copy of the TCT as
stored in RD, authentic copy but still not the
actual title)

Certified True Copy of Tax Declaration

(TD) (there are separate TDs for house and lot; if
the seller/developer does not have this, you can
get this from your Municipal / City Hall where the
real estate taxes for the property get paid)

Tax Clearances: this is different from the TD, a

tax clearance basically says that Real Property
Tax (RPT) payments on the property (detailed in
the TD) are up to date. So it goes without saying
that real estate taxes (amilyar) must be paid
first before the property is transferred, and

before
the
government
releases
taxation document on the property.

any

2. Pay Taxes with BIR: Of course, a property sale

occurred that is why we need to transfer the TCT, and
of course there will be taxes to pay. Go to the BIR
office governing the property you bought, submit the
documents outlined above, and pay the following:

Documentary Stamp Taxes (DST): depends on

the agreement of buyer and seller, sometimes
seller shoulders this aside from EWT, sometimes
this is split between buyer and seller, sometimes
this is fully shouldered by buyer. The set-up is
usually documented in the DOAS. This costs
1.5% of property selling price (e.g. Php1M
property will have Php15k DST) or it can be higher
when the appraised value of the property as
deemed by BIR is higher than selling price (which
rarely happens).

Expanded Withholding Tax (EWT): this is to be

shouldered by the seller / developer as taxes from
the sales. Just present the EWT certification you
got from the developer.

Other Taxes and Fees: Be prepared to pay

some more amount on other taxes and fees such
as application fees, stamps fees, certification and
documentation fees, etc. Oh by the way, allot
some money for photocopying too!

3. Apply for Certificate Authorizing Registration

(CAR) with BIR: Once youve paid and while youre
still in BIR, submit the documents and all payments to
apply for CAR. Basically, the CAR says that BIR is fine
with the tax payments, and that buyer/seller
may now formally register the sale with the
Registry of Deeds. Up until this point, the
agreement was just between buyer and seller. Once
the CAR is available, even the BIR is amenable with
the sale and registration of it in RD. CAR application
and release usually lasts for two weeks.
4. Title Transfer at Registry of Deeds: The
following documents will be asked by RD prior to
transferring the title:

CAR from BIR

DOAS

Developer Secretarys Certificate (as proof of

who is legally empowered and designated to sign
legal documents in behalf of the developer)

DST and EWT payment receipts

Tax Clearance and Tax Declarations

Receipts
of Real
Tax (RPT) payments (amilyar)

Property

Once these are submitted, RD reviews them and then

they show you the draft of the new TCT (the
transferred title that cancels the old one). Once you
confirm the details to be encoded therein, you
will pay the TCT transfer costs (mine was
Php8,700) as well as some fees and stamp charges
again. Depending on the RD, title transfers usually
last for another two weeks to a month.
5. Transfer of Tax Documents: Fast forward, you
now have your property named after you, TCT is now
named under you. Congratulations! Now, you need to
transfer the other documents as well, namely the tax
declarations. Go to the Municipal/City Hall governing
the property that is now yours (naks!), and submit the
following:

Copy of CAR from BIR

Copy of DOAS

Copy of old TD under developer/sellers

name: this is so they know which old TD to
cancel, supersede and override

Copy of Tax Clearance and Real Property

Taxes (RPT) Receipt: again, tax payments must
be updated!

You will be asked to pay the TCT Transfer

Tax (again?!? Yes, this time in Municipal / City Hall
level) (mine was Php6,400) and wait for 1-3 days

before you get the TDs under your name. Moving

forward, in the years to come, it should be your name
that
you
see
in
the
RPT.
6. Annotation: Usually, the bank handles this portion
as they need to enforce their claim on your TCT. You
just need to make sure that the TCT is finally under
your name, as well as the tax documentations.
Otherwise, how will the bank document its claim in a
TCT that is not yours, or a property with delinquent
tax payments right? Depending on the RD,
annotations
last
for
a
month
or
so.
There you go. I hope details provided here were able
to give you some guidance on the TCT Transfer and
Annotation process. Just note that this entails some
going back and forth to a number of
government offices, so lots of free time or
vacation leaves will be needed if you are to do this
task yourself. As mentioned above, developers or
agencies usually offer this service, of course for
a fee on top of all the things you need to
pay for, as detailed above.

Agency
1. Local
Attorney

Activity
Notarization

Requirements

Duration

Deed of Absolute Sale (DOAS)

few minutes

Affidavit of No
2. Assessors Improvement (if
Office
there is no house
built on the land)

Tax Declaration, Photocopy of

DOAS, Residence Certificate

1 Day

3. Land Tax
Division

Land Tax Receipt, Tax Declaration

1 Day

Order of Payment

4. Assessors Payment of Transfer Two Sets of DOAS and tax

Office
Tax
declaration (photocopy)

5. BIR

Payment of
Documentary
Stamps and
Expanded
Withholding Tax
(EWT)

1 day

Title, Affidavit of No Improvement,

certificate of no improvement, tax 30 days
declaration, tax receipt

6. Register
of Deeds

Original copies of title/s, DOAS with

stamp, doc stamp receipt, EWT
Registration of Title
5 days
receipt, tax clearance, transfer tax,
tax declaration

Request for a new

copy of tax
Photocopy of new title, DOAS,
7. Assessors declaration of the
transfrer tax, tax declaration, tax
Office
lot or house and lot
receipt, tax clearance
under the buyers
name

1 day