Checklist Before Buying a Residential Property in the Philippines
The rapid growth of the country’s real estate market has attracted many local and foreign property investors to buy a property in the Philippines. From luxury condominiums in Makati and BGC to gorgeous house and lots in Muntinlupa, property investors have the privilege of browsing through thousands of choices for the right fit for their lifestyle, their needs, and their future.
Knowing what to secure early on will lessen or even eliminate any problems in the long run. This brief checklist below will ensure a safe purchase of a home.
Verify the authenticity of the property’s title.
The easiest way to check if the title to the property you are buying is authentic is by getting a Certified True Copy of the title from the Registry of Deeds. You’ll need a title number and property owner’s name – in this case, the seller – before you get a Certified True Copy from the Registry of Deeds.
Confirm that the title is clean.
Confirming if the title is clean means making sure that the property is not mortgaged – or that there are no debts against the property. You can ensure this by looking at the back page of the property title, under the heading “Encumbrances.” This area should be empty to know that title is clean.
Validate the land description on the title.
It’s absolutely necessary to make sure that the land described on the title is really the land that you are buying. Land titles do not indicate the street name and house number of a property; instead, what you’ll need to look at is its technical description. This can be validated at the Registry of Deeds or by hiring a private land surveyor or a geodetic engineer.
Ensure that the sellers are the real owners.
Avoid future complications by confirming that the property seller is the real owner of the property. Some of the simplest ways to do so is to ask to see identification papers of the owners and ask about the history of the home.
Make sure that the property’s annual real estate taxes have been paid.
Property tax payments must be made yearly. To check this, ask the sellers for original Tax Receipts and certified true copies of Tax Declarations so you can verify for yourself that the taxes are paid regularly. Failure to pay the RPT will result in penalties.
Ensure you’re not setting yourself up for a ton of headache when you purchase a home by accomplishing this pre-buying checklist.