Do You Need DAR Clearance to Sell a 100-Square-Meter Agricultural Land?

Do You Need DAR Clearance to Sell a 100-Square-Meter Agricultural Land? (Philippine Context)

Short answer

Usually, yes. Any sale, donation, or other transfer of agricultural land—no matter how small the area (even just 100 sqm)—generally requires clearance or certification from the Department of Agrarian Reform (DAR) before the Register of Deeds (ROD) will register the deed. What you specifically need depends on the land’s status (e.g., CARP-covered or not, awarded to an agrarian reform beneficiary or not, reclassified or converted to non-agricultural use, etc.).

Below is a practical, lawyerly guide to help you determine which DAR document applies and how to proceed.


The legal backdrop (why DAR is involved)

  • The Constitution and the Comprehensive Agrarian Reform Law (CARL) regulate ownership and transfers of agricultural lands to prevent circumvention of agrarian reform, police the 5-hectare retention limit, and protect agrarian reform beneficiaries (ARBs) and tenants.
  • Because of this, the Register of Deeds commonly requires a DAR clearance/certification for any transfer involving land that is still classified as agricultural in government records—even if the portion is tiny.

Step 1: Identify the land’s true status

A. Was the land awarded under agrarian reform (EP/CLOA)?

  • Yes → Highly restricted.

    • No sale within 10 years from award and no transfer except to the government, to other qualified beneficiaries, or by hereditary succession (heirs). Some titles carry perpetual conditions against conversion or sale to non-qualified persons.
    • DAR clearance is not just a formality here—unauthorized sales are void/voidable and the ROD will not register the deed.
  • No → Proceed to B.

B. Has the land been reclassified by the LGU to non-agricultural before 15 June 1988?

  • Yes → Not “agricultural” for CARP purposes.

    • You typically secure a DAR Certificate of Exemption (or equivalent attestation) confirming the prior non-agricultural status. With that, ROD can register the transfer without a DAR conversion order.
  • No/Unsure → Proceed to C.

C. Is the land currently agricultural on record (zoning, tax dec, title M.R.O., barangay reality)?

  • Yes → DAR involvement is required.

    • For a straight transfer (no change in use), you usually need a DAR Transfer Clearance (sometimes called “DAR Clearance to Register” or a DAR certification of compliance/non-coverage).
    • If the buyer intends non-agricultural use, you’ll need DAR Land Use Conversion (LUC) approval first (unless an exemption applies).
  • No → If it’s already non-agri on record, ROD may not require DAR clearance, but will often still ask for a DAR certification confirming the status to be safe.


What if the area is only 100 square meters?

  • Size doesn’t exempt you. The need for DAR documentation does not depend on area. A 100-sqm slice is still part of an “agricultural land” if that is the official classification.

  • Practical flags with micro-parcels:

    • Subdivision/segregation: You need an approved survey/subdivision plan for the 100-sqm lot. Some LGUs/zoning boards have minimum lot sizes for agricultural or residential use; selling a sub-minimum parcel can be disallowed or unregistrable.
    • Access/right-of-way: Ensure a lawful ROW exists; landlocked micro-parcels trigger later disputes and ROD queries.
    • Tenancy: Even tiny carve-outs can be problematic if there is a tenant; DAR tends to scrutinize these to prevent informal evictions or “splintering” that skirts agrarian policy.

Which DAR document applies? (Decision tree)

  1. ARB-awarded land (EP/CLOA)

    • Within 10 years from award: Transfer generally prohibited (except to heirs/Government/qualified beneficiaries).
    • After 10 years: Still typically requires DAR clearance and compliance with conditions (e.g., buyer qualifications, consent, etc.). Some titles bear continuing restrictions—check them.
  2. Land reclassified by LGU to non-agricultural before 15 June 1988

    • Get DAR Certificate of Exemption (confirms it’s outside CARP).
    • Then proceed with sale (still need the usual tax and title requirements).
  3. Agricultural land (no reclassification; no conversion sought)

    • For a plain transfer (still to be used as agricultural): secure DAR Transfer Clearance / DAR Certification that the transaction does not violate CARP (e.g., retention limits, tenancy/ARB rights).
    • ROD usually will not register without it.
  4. Intended change of use to non-agricultural (residential, commercial, etc.)

    • Apply for DAR Land Use Conversion (LUC) Approval before the transfer/registration (or have the owner secure it first).
    • If conversion is granted, proceed with transfer and registration using the DAR LUC Order as basis.

Typical documentary requirements (expect variations by province/LGU)

  • Owner’s title (OCT/TCT) and latest tax declaration.
  • Lot plan/subdivision plan (if only 100 sqm is being sold), with DENR-LMB/LMS approval and technical descriptions.
  • Zoning certification from the LGU (to confirm classification/reclassification status).
  • Bureau of Soils/DA certifications (sometimes required in conversion).
  • Barangay certification on actual use/tenancy (if applicable).
  • Affidavits on non-tenancy or tenant’s written consent, if relevant.
  • For ARB lands: copy of CLOA/EP, compliance with restrictions; where allowed, DAR consent/clearance.
  • For exemption: LGU reclassification ordinance and proof it predates 15 June 1988; DAR exemption certificate.
  • For conversion: complete LUC application dossier (agro-economic justifications, alternative sites analysis, etc.).
  • BIR eCAR (taxes paid) and municipal/city tax clearances (for registration stage).
  • DAR clearance/certification appropriate to the case (transfer clearance, exemption certificate, or LUC order).

Practice tip: The ROD’s intake checklist in your province often mirrors DAR’s current circulars. Checking the ROD list early prevents last-minute denials.


Special issues for sellers and buyers

Retention and anti-avoidance

  • The seller (if still holding other agricultural lands) must remain within the 5-hectare retention limit, and the deal must not evade CARP (e.g., piecemeal 100-sqm disposals to get around coverage).

Tenancy and ARB rights

  • A sale cannot extinguish a bona fide tenant’s security of tenure. If there’s an actual tenant, expect DAR to deny transfer clearance (or impose conditions) unless tenant rights are respected.

Heirship and co-ownership

  • If the 100-sqm is a share in a larger agri parcel, ensure the extra-judicial settlement or partition is in order before applying for clearance and registration.

Mortgages and encumbrances

  • Existing liens (e.g., LBP or government liens on CLOA lands) often block transfers without DAR participation or release.

Conversion vs. Exemption vs. Transfer Clearance (plain-English distinctions)

  • Exemption Confirms the land isn’t agricultural for CARP, usually because of pre-1988 LGU reclassification. Used to prove no conversion is needed.

  • Conversion (LUC) Permission to change use of land that is agricultural on record (e.g., to residential). Needed before ROD will register a transfer for non-agricultural use or before development permits issue.

  • Transfer Clearance / Certification to Register For a sale/donation/assignment without changing use of agricultural land. DAR checks for CARP compliance (retention limit, tenancy, ARB restrictions) and then clears registration.


The registration pathway (what to file, in order)

  1. Status check & survey

    • Verify classification (LGU zoning) and title encumbrances.
    • If selling 100 sqm out of a bigger title, secure an approved subdivision plan with tech descriptions.
  2. Secure the proper DAR document

    • Exemption (if reclassified pre-1988), LUC Order (if changing use), or Transfer Clearance/Certification (if staying agri).
    • If ARB land, confirm you’re not within the 10-year bar and that title conditions are satisfied.
  3. Pay taxes & get BIR eCAR

    • CGT/CWT, DST, local transfer tax, updated RPT → BIR issues eCAR.
  4. Register with ROD

    • Submit deed (with eCAR), DAR document, survey/subdivision papers, IDs, tax clearances, and DUES.
    • ROD issues new TCT for the 100-sqm lot if all is in order.

Risks of skipping DAR requirements

  • ROD refusal to register the deed (deal becomes unperfected as to title).
  • Void/voidable transfers (especially with ARB-awarded lands).
  • Administrative/criminal liability for unlawful conversion or interference with tenancy.
  • Denial of building/business permits when the land’s use doesn’t match its legal status.

Frequently asked questions

1) We’re only selling 100 sqm for a relative’s house—do we still need conversion? If the land is still agricultural on record, and the intended use is residential, you generally need LUC unless you can prove pre-1988 LGU reclassification (then seek exemption). Tiny area ≠ automatic exemption.

2) Can we donate instead of sell to avoid DAR clearance? No. Donation, exchange, assignment, or partition are all transfers that ordinarily trigger DAR review if the land remains agricultural.

3) The title says “CLOA”—can we sell after 10 years without DAR? Transfers of CLOA lands remain restricted even after 10 years, and the ROD will still look for DAR clearance and proof that the buyer is qualified and conditions are observed. Many CLOAs have continuing annotations.

4) What if the land is already used as residential for decades? Actual use is not enough. Paper status controls. If records still say agricultural, get conversion; if there’s a valid pre-1988 LGU reclassification, get exemption.


Bottom line

  • A 100-sqm agricultural lot is not exempt from agrarian rules.
  • Expect the ROD to require a DAR clearance/certification suited to your case (exemption, conversion, or transfer clearance).
  • For ARB-awarded lands, treat the 10-year bar and title conditions as strict; coordinate with DAR before drafting any deed.
  • Start with a status audit (title, zoning, survey, tenancy) to decide which DAR route you must take, then complete BIR/ROD steps for clean registration.

This guide is general information, not legal advice. For sensitive facts (ARB history, tenancy, staggered carve-outs), consult counsel or your provincial DAR office for document-specific guidance.

Disclaimer: This content is not legal advice and may involve AI assistance. Information may be inaccurate.