DAR Clearance Requirements for Land Title Transfer in the Philippines

(A practitioner’s guide for transactions involving agricultural land)

1) Why “DAR Clearance” exists

The Department of Agrarian Reform (DAR) polices transfers of agricultural land to prevent evasion of the Comprehensive Agrarian Reform Program (CARP) and to protect tenants and agrarian reform beneficiaries (ARBs). When deeds affecting agricultural land are presented for registration, Registers of Deeds (RDs) routinely require:

a DAR Clearance (sometimes called CARP/DAR compliance clearance); or
a DAR Exemption/Non-Coverage Certification when the land is not agricultural or otherwise outside CARP; or
proof of DAR Conversion (lawful change of land use from agricultural to non-agricultural) when applicable.

Without the proper DAR document, the RD may refuse to record the deed.

Key ideas: (1) ensure seller’s retention limit and buyer eligibility are respected, (2) verify there are no ARBs or tenants whose rights would be impaired, (3) make sure the land is either agricultural and transferable under CARP rules, or already exempt/converted.

2) Transactions that typically need DAR involvement

Sale, donation, barter, exchange, partition, or consolidation involving agricultural land.
Mortgage/foreclosure of agricultural land (clearance or certification is commonly required before annotation/registration).
Transfers of CLOA/EP lands (far more restrictive; see §8).
Corporate acquisitions of agricultural land (subject to aggregate landholding tests and anti-dummy concerns).

Usually not required: transfers of land that is clearly non-agricultural (e.g., titled as residential/commercial/industrial and supported by zoning or prior valid reclassification), but RDs often still ask for a DAR Exemption/Non-Coverage Certification to document that status.

3) What “agricultural” means (and why it matters)

“Agricultural land” covers land devoted to farming, livestock, pastures, aquaculture, and similar uses. Land already classified as residential, commercial, or industrial by law, presidential proclamation, or valid local government reclassification (especially before 15 June 1988) is not considered agricultural for CARP coverage. Proof of such status (e.g., zoning certifications, Sangguniang Panlungsod/Bayan reclassification ordinances, or prior conversion orders) is essential.

4) The three DAR documents you’ll encounter

A. DAR Clearance (for transfers of agricultural land)

Confirms the proposed transfer does not violate CARP rules, including retention limits, tenancy/ARB rights, and fragmentation/avoidance schemes.

B. DAR Exemption / Non-Coverage Certification

Issued if the land is not agricultural (e.g., validly reclassified prior to CARP effectivity) or otherwise outside CARP. RDs accept this in lieu of clearance.

C. Land Use Conversion Order (and certification that conversion was granted)

If the land is still agricultural but will be used for non-agricultural purposes, conversion approval is required before the RD can register a transfer that presupposes non-agricultural use. Conversion is distinct from exemption: conversion changes use; exemption proves it was never within coverage (or is outside) to begin with.

5) Where and who files

Office: DAR Provincial Office (DARPO) where the land lies (coordination with the Municipal Agrarian Reform Office (DARMO) is common).
Applicant: owner-seller, buyer-transferee, or an authorized representative (with SPA/board resolution for entities).
Downstream coordination: RD, Assessor, City/Municipal Planning and Development Office (for zoning), and sometimes DA/DENR/BSWM for technical inputs.

6) Core evaluation tests used by DAR

Coverage / Land Use: Is the parcel agricultural? If not, exemption or conversion proof ends the inquiry.
Tenancy / ARB Rights: Are there tenants, farmworkers, or ARBs on site? Are there pending agrarian cases?
Retention & Aggregation:
- Transferor cannot reduce holdings to evade CARP; retention limit compliance (commonly up to 5 hectares for a natural person) is examined.
- Transferee scrutiny: whether the transaction would aggregate agricultural landholdings beyond allowable limits or undermine distribution objectives.
Encumbrances & Prior CARP Acts: Is the land subject to acquisition/distribution, notice of coverage, or an existing CLOA/EP?
Physical verification: Field investigation to confirm actual use and occupation, and barangay-level checks/posting when required.

7) Typical documentary requirements

(Expect local variations. Provide clean copies and legible scans.)

Identity & Authority

Valid IDs of parties; SPA/board resolutions for representatives/corporations; SEC/DTI documents for entities; list of major shareholders/partners.

Property Papers

Certified true copy of OCT/TCT (and mother titles, if needed).
Latest Tax Declaration and Real Property Tax receipts/clearance.
Lot plan with metes and bounds; vicinity map or GIS sketch.
Assessor’s certificate on actual use/classification.

Status & Use

Zoning certification from LGU or proof of valid reclassification (especially if pre-1988).
If previously converted: DAR Conversion Order (and proof of compliance with its conditions).
Affidavit of aggregate landholdings (seller and, where required, buyer).
Sworn tenancy/occupancy disclosure (presence/absence of tenants/ARBs/actual tillers).
Barangay certifications (no agrarian dispute; notice posting where required).
Certification of no pending agrarian case from DARMO/DARPO (practice varies).

Transaction Papers

Draft or executed deed (sale, donation, exchange, partition, consolidation, mortgage).
If heirship is involved: extrajudicial settlement, death certificates, and heirship affidavits.
If corporate transferee: disclosure of landholdings/acquisitions nationwide (aggregation review).

Special Cases

If the land is tenanted: proof of compliance with tenant rights, disturbance compensation agreements, or documentation showing no impairment of ARB rights.
If CLOA/EP: see §8 for stricter papers (DAR approval, waiting periods, LBP involvement).

8) CLOA/EP lands: stricter rules

Land awarded to ARBs via Certificate of Land Ownership Award (CLOA) or Emancipation Patent (EP) is inalienable for a prohibited period (often 10 years from award/registration) and may be subject to annotation-based restrictions. During that period:

Transfers are generally barred, except hereditary succession;
Mortgages (if allowed) are typically only with the Land Bank of the Philippines; and
DAR approval is needed even after the prohibition for certain transfers, and the buyer must often be another qualified beneficiary or meet statutory eligibility.

CLOA lands may also be collective (co-ownership among beneficiaries) with extra steps: individualization/ subdivision plans, beneficiary consents, and DAR partition approvals before any transfer can be recognized.

9) Process flow (clearance / exemption / conversion)

A) Clearance (for agricultural transfers)

File application with DARPO (docketing and initial checklist).
Pay fees (application/inspection; amounts vary).
Evaluation & field verification (tenancy/ARB rights, coverage, retention/aggregation tests).
Posting/notifications (if required by local rules).
Recommendation by DARMO → Action by the Provincial/Regional Office.
Issuance: DAR Clearance (with conditions) or Denial with reasons.

B) Exemption/Non-Coverage

Submit land classification proof (zoning/reclassification or other basis).
DAR evaluates history of use/classification; may still conduct site check.
Issuance of Exemption/Non-Coverage Certification for RD use.

C) Conversion

File for Land Use Conversion (separate, more exacting proceeding).
Technical, environmental, and planning reviews; pro-farmer and food-security balancing tests.
If approved, Conversion Order issued; compliance with conditions monitored.
Use conversion proof to support transfer registration when the deed presupposes non-agricultural use.

10) Registration with the RD after DAR action

When the DAR Clearance (or Exemption/Conversion proof) is in hand:

Submit the deed and standard RD requirements (transfer taxes, documentary stamp tax, capital gains/withholding tax as applicable, CARP taxable shares if any, BIR Certificate Authorizing Registration, etc.).
Include the DAR document as a pre-registration requirement.
RD will issue a new title if everything is in order and annotate relevant restrictions/conditions from DAR.

11) Timelines and fees (practical expectations)

Timelines vary widely with caseload, completeness of documents, field verification, and whether tenancy or coverage questions arise. Simple exemption/non-coverage cases usually move faster than clearance with tenancy issues, and conversion takes the longest.
Fees (filing/inspection/certification) depend on local schedules and land size; expect additional costs for surveys, certified copies, zoning papers, and publication/posting if required.

12) Common pitfalls (and how to avoid them)

Assuming “agricultural” just by tax dec. label. Use zoning/reclassification or conversion records to prove status.
Ignoring tenants/actual tillers. Site inspection often reveals occupants; an omission can derail the application.
No aggregate landholding affidavits. DAR checks both sides to prevent circumvention.
Relying on a post-1988 LGU reclassification without DAR conversion. Post-1988 reclassifications typically do not by themselves convert agricultural land; secure conversion where required.
CLOA restrictions overlooked. The 10-year bar, LBP mortgage rules, qualified-transferee limits, and DAR approval needs are frequent stumbling blocks.
Fragmentation tactics. Serial smaller transfers, dummies, or interposed persons invite denial and possible sanctions.

13) Heirs, donation, partition, foreclosure: special notes

Heirship/partition: If agricultural, DAR still checks tenancy and coverage; for CLOA lands, succession is generally allowed but subsequent transfers remain restricted.
Donation: Treated like a sale for clearance purposes; public policy tests still apply.
Foreclosure: Annotation and consolidation usually trigger the same clearance/certification checks.
Corporate/association transferees: Expect scrutiny of ownership layers and nationwide landholdings.

14) Practical checklist for your file

Latest CTC of title + tax declaration
Zoning/reclassification proof or prior Conversion Order
Affidavits of aggregate landholdings (seller/buyer)
Tenancy/occupancy disclosures + barangay certifications
No pending agrarian case certification (if required by the local office)
Lot plan & vicinity map
Entity papers (SEC/DTI, resolutions, signatory IDs)
Deed and tax/BIR documents for RD
If CLOA/EP: award date, annotations, DAR approvals, LBP documents, and (if collective) partition papers

15) Compliance strategies

Classify first. Nail down whether the land is agricultural, exempt, or converted. This dictates the correct DAR route.
Field-truth early. Visit the site and talk to barangay officials; undisclosed occupants/tenants create late surprises.
Sequence the docket. If conversion is needed, pursue it before pushing the deed to the RD.
Mirror the RD checklist. Ask the RD up front for any local add-ons (some require specific wordings or latest-date certifications).
Document continuity. Make sure parcel identifiers (lot nos., areas, surveys) match across title, tax dec, plans, and applications.

16) Frequently asked questions

Q: If the land is residential per zoning, do I still need DAR Clearance? A: Usually no clearance; instead the RD may require a DAR Exemption/Non-Coverage certificate to memorialize that it isn’t agricultural.

Q: Can a CLOA land be sold to a non-ARB after 10 years? A: Transfers remain regulated. Even after the bar period, rules often restrict buyers to qualified beneficiaries or require DAR approval, with prior encumbrances (e.g., LBP liens) observed.

Q: Does a short-term lease of agricultural land need clearance? A: Leases aren’t title transfers, but local RDs sometimes ask for DAR confirmation in longer-term or unusual cases. Check locally.

Q: Is subdivision of an agricultural title among heirs a “transfer” needing clearance? A: Partition is a mode of transfer recognized in practice; DAR still vets tenancy and coverage implications before RD registration.

17) Final notes

Requirements can vary by province and by the land’s history (e.g., OLT/CLOA involvement, notices of coverage, pending agrarian cases).
The RD has its own checklist; sync your DAR strategy with the RD’s documentary demands to avoid ping-ponging.
For complex fact patterns (tenancy disputes, CLOA restrictions, or conversion questions), consult a practitioner who regularly handles DAR work in the province where the land lies.

This guide provides general information on DAR clearance/exemption/conversion for land title transfers in the Philippines. It is not legal advice. For a specific property, evaluate actual use, occupants, annotations, and local office practice before proceeding.