Notarizing a Deed of Sale for Property in the Philippines: Costs and Procedures

How much does it cost to notarize a deed of sale for property in the Philippines?

A Deed of Sale is a critical document in the transfer of property ownership in the Philippines. Notarization of this document is essential to ensure its legal validity and enforceability. Here, we outline the costs and procedures involved in notarizing a Deed of Sale for property.

Understanding Notarization

Notarization is the process by which a notary public certifies that the signatures on a document are genuine and that the signatories have affirmed their intention to execute the document. This process helps prevent fraud and ensures the document can be legally recognized.

Cost of Notarization

The cost of notarizing a Deed of Sale can vary depending on several factors, including the value of the property and the notary public's fee structure. In general, the notarial fee is computed as a percentage of the property's selling price, typically ranging from 1% to 1.5%. Here are some approximate costs:

• For properties valued at PHP 1,000,000, notarial fees can range from PHP 10,000 to PHP 15,000.
• For properties valued at PHP 5,000,000, notarial fees can range from PHP 50,000 to PHP 75,000.

It is important to note that these fees are indicative and can vary. Some notaries may charge higher or lower rates based on their discretion and other considerations.

Steps to Notarize a Deed of Sale

1. Draft the Deed of Sale: Ensure that the Deed of Sale is properly drafted, detailing the terms of the sale, the description of the property, and the agreement between the buyer and the seller.

2. Prepare Supporting Documents: Gather all necessary documents such as the Certificate of Title, Tax Declaration, and valid IDs of the buyer and the seller.

3. Choose a Notary Public: Select a reputable notary public who is authorized to notarize documents in the area where the property is located.

4. Sign the Document in the Presence of the Notary: Both parties (buyer and seller) must sign the Deed of Sale in the presence of the notary public. The notary will verify the identities of the signatories and ensure that they understand the contents of the document.

5. Notary Affixes Seal and Signature: After witnessing the signing, the notary public will affix their official seal and signature, certifying that the document has been duly notarized.

6. Pay the Notarial Fee: Pay the agreed-upon notarial fee to the notary public. It is advisable to request an official receipt for the payment.

Importance of Notarization

Notarizing the Deed of Sale provides several benefits:

• Legal Recognition: A notarized document is recognized as a public document, making it easier to enforce in court.
• Prevents Fraud: The presence of a notary public helps ensure that the transaction is conducted fairly and transparently.
• Required for Registration: A notarized Deed of Sale is often required when registering the property transfer with the Registry of Deeds.

Conclusion

The notarization of a Deed of Sale is a crucial step in the property transfer process in the Philippines. Understanding the costs and procedures involved can help ensure a smooth and legally compliant transaction. Always consult with a qualified notary public to get accurate and specific information regarding your particular case.