Lessons: Purchasing Properties in Philippines with Fictitious Titles

For recent visitors: Make sure you have comprehended the article ahead of this item.

If in doubt, check the developer's bank and investigate if the title to the lot or unit you are buying is mortgaged. Check if the developer has also many pending cases of non-deliverance of the titles at the HLURB.

Because of the many titles not delivered to buyers upon full payment, Senate Majority Leader Loren Legarda has urged the HLURB to compel property developers to deliver the transfer certificates of titles (TCTs) of new housing units within 60 days from full payment of the total contract price. Legarda said, "The HLURB should promptly revoke the licenses to sell of developers who fail to comply with the deadline. She said , "... a buyer may later discover that his or her property is already being put on the auction block by the local government because of delinquency in real property tax payments." (Manila Bulletin, 4/21/03, p. 17)

Other reputable developers tell their prospective buyers outright that they cannot deliver the titles at a specific period. The buyers or investors, who have faith in the developer, can avail of the discounted price for their chosen units or lots.

There were some buyers with a strong faith in the developer who later discovered that the condominium unit they bought had three titles, and that they were just one of the owners. Others would find out later on that the unit they thought they bought turned out to be a storage room. The developer would explain that they had some reconfiguration to do in the actual construction of the condominium unit. Others would pay for a 240 sq. meter unit only to find out that their unit was only 200 sq. meters; the additional 40 sq. meters came from the open space for the condominium.

Home Page

Articles
  Explore "Exotic Cebu
  Real Estate Basics
   Discrete Realty Cases

Find Properties
  Featured Properties
  Setup Buyer Profile
  More Properties

Legal Fundamentals
  Philippines Civil Code
  Legal Foundations

Helpful Supplements
  Documentation Guides
  Conversion Tables
  Government Documents

Featured Development
Developer’s updates, features, offers, expansions, development updates, new projects and more.

Current Events
Latest real estate updates all over Cebu and Philippines & more.

List your Property
Sale, rent or lease your property online for FREE & more.