Process of Selling Estate To 3RD Person
Process of Selling Estate To 3RD Person
The process can be confusing, as one netizen pointed out in a complaint submitted to
Rappler's #NotOnMyWatch platform.
The netizen, along with his siblings, inherited property from their parents. They later
decided to sell the inherited property to a third party. While trying to transfer the property
deed to the buyer, they encountered problems processing their application for
extrajudicial settlement of property with the Register of Deeds in Tanauan City. The
application was filed almost two years ago. To date, the property deed has not yet been
released.
Instructions given were not clear, the informant said. An ordinary citizen will have to
scour websites and memorandum circulars to be able to know the correct process.
There were some requirements that were not specified early on.
To address the complaint, Rappler tried to reach the Register of Deeds in Tanauan City
but the number posted on their website is incorrect.
We called the Bureau of Internal Revenue (BIR) in Lipa City instead and was able to
talk to the Officer of the Day who explained the procedure.
Extrajudicial settlement
Under Rule 74, Section 1 of the Rules of Court, a Deed of Extrajudicial Settlement of
Estate and Adjudication of Estate should be submitted to the Register of Deeds.
The deed should be notarized before a Notary Public after all heirs have signed the
document. According to the Rules of Court, the document must be published in a
newspaper of a general circulation for 3 consecutive weeks.
Once estate taxes have been paid to the BIR, only then can the notarized deed be
registered with the Register of Deeds.
Once the CAR is released, it is then possible to transfer the registration of the land title
either to the heirs or a third party.
Main Document:
o Deed of Extrajudicial Settlement of Estate
o Deed of Sale (if the property has been sold to a third party)
Supporting Documents:
o BIR CAR/tax clearance certificate
o Owner's Duplicate Copy of Title
o Realty Tax Clearance
o Tax Declaration (Certified Copy)
o Transfer Tax Receipt/Clearance
o Affidavit of Publication of Settlement
The Register of Deeds will issue the Transfer Certificate of Title either to the heir or the
new owners if the property has been sold to a third party.
According to the LRA's Citizen's Charter, the entire process – once all documents have
been submitted – should not take more than 10 days unless: