The process of buying property in the Philippines follows a consistent sequence whether you’re purchasing from a developer or a private seller. What changes is the complexity at each stage — and the risks you face if you skip or rush any of them. Understanding the full sequence before you start means fewer surprises and better decisions at every step.

Before looking at a single listing, establish what you can actually afford — not just the purchase price, but the total cost of acquisition. Closing costs in the Philippines typically add 3 to 8 percent on top of the purchase price, covering taxes, fees, and registration costs. Budget for these from the start.

If you plan to finance through a bank loan, get a pre-qualification letter before you begin your search. Pre-qualification tells you the loan amount you qualify for based on your income and financial profile. It sets your real price ceiling and prevents the common mistake of falling in love with a property you cannot actually finance.

Key questions to answer at this stage: How much can I spend in total — purchase price plus all closing costs? Will I pay in cash, use a bank loan, or use developer in-house financing? If using a loan, what monthly amortization can I sustain comfortably?

With a clear budget in hand, begin your property search. Use property portals, engage a licensed broker, and visit open houses or developments. Do not rely on photos or virtual tours alone — visit properties in person before shortlisting.

For resale properties, visit at multiple times of day. A unit that looks quiet on a weekday morning may sit directly above a generator or face peak traffic on EDSA during rush hour. The building condition matters as much as the unit itself — check hallway maintenance, elevator availability, and lobby upkeep as indicators of building management quality.

For developer properties, research the developer’s track record on completed projects before committing. Completion delays and quality issues are project-specific, not just developer-wide.

For resale properties, due diligence is mandatory before any money changes hands. Verify the title at the Registry of Deeds, check for liens or encumbrances, confirm the seller has legal authority to sell, and ensure all real property taxes and association dues are current.

This step protects you from the most serious and most costly mistakes in Philippine property transactions. A clean-looking deal can fall apart — or worse, leave you holding a property with legal problems — if due diligence is skipped or rushed. For a complete due diligence framework, see our Real Estate Due Diligence Guide.

Once you’ve identified a property and completed due diligence, make your offer. Negotiations typically cover the purchase price, payment terms, and which party shoulders specific closing costs. Get any agreed deviations from standard practice in writing before proceeding.

When the price is agreed, both parties sign a Reservation Agreement and the buyer pays a reservation fee. This takes the property off the market. Read the Reservation Agreement carefully before signing — understand the cooling-off period, what happens to your reservation fee if the deal falls through, and the payment schedule that follows.

For developer purchases, the primary contract is the Contract to Sell (CTS) — the binding agreement governing the payment period until full payment triggers the Deed of Sale. For resale purchases, the Deed of Absolute Sale (DAS) is executed upon full payment and transfers ownership immediately.

Have a lawyer review any contract before you sign it. This is particularly important for resale transactions, where contracts are drafted privately and may contain terms that are unfavorable or legally inadequate. The cost of a legal review is minimal compared to the risk of signing a defective contract.

All payments must be settled before title transfer can proceed. If financing through a bank, the bank releases the loan proceeds directly to the seller upon loan approval and documentation completion. Bank loan processing typically takes four to eight weeks from application. Plan your timeline accordingly — do not assume the loan will be approved on the first submission.

Retain proof of all payments — official receipts, bank transfer confirmations, and acknowledgment letters from the seller or developer. These documents are essential for the tax filing and title transfer stages that follow.

Once the Deed of Sale is executed, taxes must be filed and paid to the Bureau of Internal Revenue (BIR) within 30 days. Taxes paid late attract surcharges and penalties. After the BIR issues the Certificate Authorizing Registration (CAR), Transfer Tax is paid at the local government unit, and then the full package is submitted to the Registry of Deeds for title transfer.

The Registry of Deeds cancels the seller’s title and issues a new Transfer Certificate of Title (TCT) or Condominium Certificate of Title (CCT) in the buyer’s name. After receiving the new title, update the Tax Declaration at the local assessor’s office to reflect your ownership. Title transfer from Deed of Sale to new title typically takes two to four months under normal conditions.