Frequently Asked Questions

Questions About Selling Property In The Philippines

• What are the essential documents needed to sell a property in the Philippines?
  To sell your property, you’ll need your Title Certificate, Tax Declaration, latest Real Property Tax Receipts, and a government-issued ID. It’s also wise to prepare a Community Tax Certificate and an updated location survey or subdivision plan
• How do I determine the selling price of my property?
  Setting the right price is crucial. It’s often based on the current market value, location, property size, and condition. For an accurate assessment, consider consulting a real estate professional or getting a property appraisal.
• How long does it usually take to sell a property in the Philippines?
  The timeline varies, depending on factors like property location, market conditions, and pricing. On average, it can take anywhere from a few weeks to several months. A well-priced property in a high-demand area may sell faster
• Do I need a real estate agent to sell my property?
  While it’s not mandatory, having a real estate agent can simplify the process. Agents provide market knowledge, negotiation skills, and handle the paperwork, making the selling process smoother and more efficient,
• Are there taxes involved in selling property in the Philippines?
  Yes, there are. You’ll need to pay Capital Gains Tax, which is typically 6% of the selling price, zonal value, or fair market value, whichever is higher. Also, consider the Documentary Stamp Tax and other possible local taxes
• What is the process for paying Real Estate Taxes when selling a property?
  Before selling, you should settle any outstanding Real Property Taxes (RPT) as the buyer will likely ask for updated tax receipts. After the sale, the buyer becomes responsible for RPT moving forward.
• Are there any exemptions from Capital Gains Tax?
  Yes, there are exemptions. For instance, if you’re selling your principal residence and intend to use the proceeds to acquire or construct a new principal residence, you may apply for a Capital Gains Tax exemption. This is subject to specific conditions and a deadline for reinvestment
• How do I handle Capital Gains Tax if I’m selling at a loss?
  Even if you sell the property at a loss, the Capital Gains Tax of 6% is still applicable. It’s calculated on the higher amount between the selling price and the property’s zonal value as determined by the Bureau of Internal Revenue.