I. Overview: What Makes a Condo Sale “Different”

A condominium unit is typically evidenced by a Condominium Certificate of Title (CCT) issued by the Registry of Deeds, and governed by (among others) the Condominium Act (Republic Act No. 4726), the Civil Code, the Family Code, the Property Registration Decree (P.D. No. 1529), and tax laws administered by the Bureau of Internal Revenue (BIR) and the relevant local government unit (LGU).

Unlike a land sale where the land title is transferred, a condo sale transfers:

Ownership of the unit (CCT in the buyer’s name), and
An undivided interest in the common areas proportional to the unit’s share, plus compliance with the project’s Master Deed / Declaration of Restrictions and condominium corporation rules.

A condo transaction is commonly either:

Title-based transfer (unit already titled; sale is registered and a new CCT is issued), or
Assignment of rights (unit not yet titled or still under a Contract to Sell with the developer; sale is done via developer-approved assignment and later titling).

II. Key Players and Offices

Seller / Buyer (and spouses, co-owners, heirs, corporate signatories as applicable)
Notary Public (for notarization of the deed/assignment)
BIR (for tax payment, documentary requirements, and issuance of the electronic Certificate Authorizing Registration or eCAR)
City/Municipal Treasurer (LGU) (transfer tax; real property tax clearances)
Registry of Deeds (RD) (annotation/cancellation of liens; issuance of new CCT)
Condominium Corporation / Building Administration (clearances; dues; move-in/out and transfer procedures)
Developer (for assignment-of-rights transactions; internal transfer fees and compliance)

III. Due Diligence Before Signing Anything

A. Verify the Unit’s Title and Legal Status (Title-Based Sales)

Request and verify:

Certified True Copy of the CCT (from the Registry of Deeds)
Check for encumbrances: mortgages, liens, adverse claims, attachments, court orders, notices of levy, etc.
Confirm the technical description and unit identifier match the property being sold
If there is a separate title for parking (some projects do), verify that title too.

B. Confirm Taxes and Dues Are Clear

Latest Real Property Tax (RPT) receipts and/or Tax Clearance from the LGU (where applicable/available)
Condo dues/association dues clearance from the condominium corporation/building admin
Check for special assessments, renovation penalties, or unpaid utilities tied to move-out requirements.

C. Confirm the Seller’s Authority and Capacity

If the seller is married, determine the property regime (often relevant to spousal consent/participation).
If co-owned, all co-owners typically must sign (or authorize via SPA).
If owned by an estate (deceased owner), confirm settlement documents are in order.
If owned by a corporation, confirm signatory authority (board resolution/secretary’s certificate).

D. Developer-Related Checks (Assignment of Rights)

If the unit is still under a developer (no CCT yet or still under Contract to Sell):

Ask for the current statement of account
Confirm developer’s requirements for assignment, transfer fees, and approval timeline
Confirm whether the unit is fully paid, and whether titling is pending.

IV. Core Transaction Flow (Title-Based Condo Sale)

Step 1: Negotiate Terms and Document the Deal

Common documents at this stage:

Letter of Intent (LOI) or Offer to Buy/Sell
Reservation Agreement (if used)
Earnest money / option money arrangement (document clearly)
Brokerage/agency documents if an agent is involved

Practical legal points:

Clearly state purchase price, payment schedule, inclusions (parking, furnishings), who pays which taxes/fees, and target dates.
Ensure funds-handling terms are written (e.g., escrow-like arrangements via manager’s check upon signing).

Step 2: Prepare and Sign the Deed of Absolute Sale (DOAS)

For a titled unit, the primary instrument is typically a Deed of Absolute Sale. This must be notarized to become a public document generally acceptable for registration and tax processing.

The DOAS should accurately state:

Parties and identities (names, addresses, citizenship, civil status)
Title details (CCT number, Registry of Deeds, location)
Purchase price and payment terms
Delivery/possession date
Warranties (ownership, liens, taxes, quiet enjoyment)
Allocation of taxes/fees and responsibilities
Conditions for release of checks and turnover
Signatures (including spouse/co-owner where required)

Step 3: Pay National Taxes and Secure the BIR eCAR

A buyer generally cannot register the transfer at the Registry of Deeds without the BIR eCAR.

Common BIR taxes/fees involved (final liabilities depend on classification and circumstances):

Capital Gains Tax (CGT) is commonly applied to sales of real property classified as capital asset by the seller (typical for individuals not engaged in real estate business).
If the property is an ordinary asset (commonly when the seller is engaged in real estate business or the property is used in business, depending on facts), the tax treatment may shift (often involving creditable withholding tax and possibly VAT if applicable).
Documentary Stamp Tax (DST) is generally due on the deed/instrument.
BIR processing requirements can include submission of notarized deed, IDs, TINs, title copy, tax declarations (where relevant), and other supporting documents.

Because tax rules and rates may vary by classification and can change over time, parties typically confirm the correct tax type and amount based on the seller’s status and the property’s classification.

Step 4: Pay LGU Transfer Tax and Obtain Local Clearances

After (or sometimes alongside) BIR processing, the buyer typically pays:

Transfer Tax to the LGU where the property is located, and obtains the Transfer Tax Receipt/Certificate.

Many Registries of Deeds also expect proof of:

RPT payment / Tax Clearance (depending on local practice and requirements)
Other local endorsements depending on locality.

Step 5: Register the Sale at the Registry of Deeds and Transfer the CCT

Submit to the Registry of Deeds:

Owner’s duplicate CCT (original)
Notarized DOAS
BIR eCAR
Transfer Tax proof
DST proof and other BIR payment proofs (as required)
Registration fees (assessed by RD)
Other supporting documents as required (IDs/authorities)

The RD cancels the old CCT and issues a new CCT in the buyer’s name, subject to any continuing encumbrances (or with liens cancelled if properly released).

Step 6: Post-Transfer: Condo Corporation, Turnover, and Utilities

After the buyer receives proof of transfer (or as soon as the condo corp recognizes the transfer per its policies):

Update condo corporation records
Secure move-in/turnover clearances
Transfer billing for association dues
Transfer/close utilities (electricity, water, internet) as applicable
Turn over keys, access cards, parking stickers, manuals, warranties, and house rules acknowledgments

V. Variant Flow: Sale of a Mortgaged Condo

If the unit is mortgaged (bank/financing):

Confirm the outstanding loan balance and bank requirements for release
Negotiate a safe payment structure (common approaches):
- Buyer pays a portion directly to bank to settle the loan; balance to seller upon release, or
- A controlled release of checks tied to the bank’s issuance of release documents
Obtain bank documents (often including):
- Release of Mortgage
- Cancellation of Mortgage / instructions for annotation
- Proof the loan is fully settled
Register the release/cancellation of mortgage at the Registry of Deeds (annotation process)
Proceed with the sale registration and issuance of buyer’s new CCT (or sequence per RD practice)

VI. Variant Flow: Assignment of Rights (No CCT Yet / Still Under Developer)

When This Applies

Unit is still under Contract to Sell (CTS), or
Title is not yet issued/transferred from developer to seller, or
Developer policies require assignment as the recognized transfer mechanism before titling

Typical Steps

Secure developer’s assignment checklist and confirm:
- Transfer/processing fees
- Required forms and notarized documents
- Whether developer must approve buyer qualifications
Execute a notarized Deed of Assignment of Rights (and sometimes a separate deed of sale for improvements/furnishings, depending on structure)
Pay developer transfer fees and settle any arrears
Developer issues:
- Confirmation/approval of assignment
- Updated CTS or new contract in buyer’s name (or recognition documents)
If/when titling proceeds:
- Developer facilitates or requires compliance for eventual issuance of CCT in the buyer’s name

Tax handling can differ in assignments depending on structure, developer practices, and how the transfer is documented. Parties should ensure documentation aligns with lawful tax treatment.

VII. Special Situations That Commonly Delay or Derail Transfers

A. Married Sellers / Spousal Consent

If the unit is part of a property regime where spousal participation is required, the spouse typically must:

Sign the deed, or
Execute a valid Special Power of Attorney (SPA) authorizing sale (if allowed and properly notarized; consularized if executed abroad)

B. Co-Ownership

All co-owners generally must sign, or authorize via SPA. If only one signs without authority, the sale can be challenged at least as to other co-owners’ shares.

C. Deceased Owner (Estate Property)

Commonly needed before a clean sale/transfer:

Death Certificate
Extrajudicial Settlement (or judicial settlement) documents
Proof of payment of applicable estate-related taxes and issuance of required BIR clearances (depending on circumstances)
Updated title status reflecting the lawful heirs/estate processes as needed

D. Corporate Seller

Typically required:

Secretary’s Certificate / Board Resolution authorizing the sale and signatories
Corporate IDs and registration details
Proof of authority consistent with corporate governance

E. Foreign Buyers and Ownership Restrictions

Foreign individuals may generally acquire condominium units only if the project’s foreign ownership does not exceed the allowable statutory limit (commonly discussed as the condominium’s compliance with the constitutional framework and condo law structure). In practice, reputable developers/condo corporations track and enforce this via their records and compliance processes. Buyers should verify eligibility before paying substantial amounts.

VIII. Standard Document Checklist (Practical)

For the Seller (Individual)

Government-issued IDs (and spouse’s IDs if applicable)
TIN and BIR forms as required
Owner’s duplicate CCT (original)
Certified true copy of CCT (often requested for processing)
Condo corporation clearance (dues/assessments)
RPT receipts / tax clearance (as required/available)
If represented: SPA (notarized; consularized if abroad)
If mortgaged: bank loan documents, payoff statement, release documents

For the Buyer (Individual)

Government-issued IDs
TIN
Proof of payment instruments (manager’s check details, etc., if needed for documentation)
Condo corporation registration forms for new owners (project-specific)

Transaction Documents (Title-Based)

Deed of Absolute Sale (notarized)
Acknowledgment/receipts for payments (often integrated into deed or separate)
Inventory/turnover checklist (keys, cards, inclusions)

BIR / LGU / RD Documents (Commonly Required in Practice)

Notarized deed and supporting schedules
BIR forms and proof of tax payments
BIR eCAR
Transfer Tax receipt/certificate
Proof of DST payment (as applicable)
RD registration forms and fees
Additional affidavits/undertakings as required by the processing office

Assignment of Rights Documents (Developer Transactions)

Deed of Assignment of Rights (notarized)
Developer’s transfer application forms
Statement of account and proof of settlement
Developer approval/recognition documents
Updated CTS/contractual documents in buyer’s name

IX. Practical Risk Controls (Common Best Practices)

Use certified true copies from the Registry of Deeds, not just photocopies.
Confirm the exact name spelling and details for deed consistency (IDs vs title vs tax documents).
If paying large amounts, structure payment so that release aligns with:
- signed notarized deed,
- delivery of owner’s duplicate title,
- BIR filing progress,
- and RD registration milestones.
Ensure the deed states whether the unit is sold free from liens and encumbrances, and if not, specify exactly which encumbrances remain and who clears them.
Require condo corp clearance and settle move-out requirements early to prevent turnover delays.
For parking/furnishings, clarify if parking has separate title and document inclusions item-by-item.

X. Common Allocation of Taxes and Fees (Market Practice vs Legal Responsibility)

Parties may contractually agree on who shoulders taxes/fees, but government agencies will still require payment and proper documentation. Common private allocations (varies widely):

Seller often shoulders seller-side national taxes associated with the sale (depending on classification and agreement).
Buyer often shoulders transfer tax, RD registration fees, and documentation costs.
Condo corporation transfer fees and move-in/out deposits are often allocated by agreement or by condo corp rules.

The controlling point is: what is written in the contract controls between the parties, but compliance with government requirements controls registration and issuance of the new title.

XI. Bottom Line

A Philippine condominium sale is legally completed (for titled units) when the notarized deed is supported by tax compliance (BIR eCAR and local transfer tax) and the transfer is registered at the Registry of Deeds, resulting in a new CCT in the buyer’s name. For non-titled or developer-controlled units, the operative transfer is commonly an assignment of rights recognized by the developer, with titling to follow under the developer’s process.