Below is a comprehensive overview of what typically happens in the Philippines after payment is made for a property purchase. This discussion covers major legal and procedural points, including key government agencies involved, documentation requirements, taxes, and other matters. Please note that this is intended for general informational purposes only and should not be treated as legal advice. For specific concerns, consult a qualified Philippine lawyer or real estate professional.

1. Confirming Full Payment and Securing Relevant Receipts

Obtain an Official Receipt or Acknowledgment Receipt:
- As soon as payment is completed—whether in full or based on a mutually agreed payment schedule—ensure that you receive an official or notarized acknowledgment receipt from the seller (or developer, if you are buying new construction).
- This receipt serves as evidence that you have fulfilled your payment obligations and is often needed when processing the transfer of ownership.
Check for Other Fees:
- Aside from the purchase price, there may be extra fees like notarial fees, agent’s commissions, administrative fees, or association dues (for condominiums or gated communities). Confirm all these costs to avoid surprises.

2. Executing and Notarizing the Deed of Absolute Sale (DOAS)

Drafting the Deed of Absolute Sale:
- The primary legal instrument transferring ownership from the seller to the buyer is the Deed of Absolute Sale (DOAS).
- In some cases, the parties might first execute a Contract to Sell, which stipulates conditions and payment schedules. Upon completion of full payment, the parties then execute a DOAS.
Notarization:
- The DOAS must be notarized by a notary public for it to become a public document.
- Unnotarized deeds may not be accepted for registration at the Registry of Deeds.
Witnesses and Due Diligence:
- Both the seller and the buyer usually need to present valid IDs and provide proof that they have the legal capacity to enter the transaction (e.g., marital consent, if applicable).
- If you are dealing with a corporation or an organization, confirm corporate approvals (e.g., board resolution) authorizing the transaction.

3. Paying Applicable Taxes

3.1 Capital Gains Tax (CGT) or Creditable Withholding Tax (CWT)

Who Pays?: Normally, the seller pays the capital gains tax (CGT) (six percent of the total selling price or the zonal value, whichever is higher). In some arrangements—particularly in developer sales—this may be included in the package price or passed on to the buyer, subject to the contract.
When to Pay?: The Bureau of Internal Revenue (BIR) requires this to be paid within thirty (30) days from the date of notarization of the deed.

3.2 Documentary Stamp Tax (DST)

Who Pays?: The buyer typically shoulders the documentary stamp tax (1.5% of the selling price or zonal value, whichever is higher), unless agreed otherwise in the contract.
When to Pay?: This must be paid within five (5) days after the close of the month when the deed was notarized (practically within the same timeline as the CGT).

3.3 Local Transfer Tax

What is It?: Local government units (LGUs) impose a transfer tax on real property transactions. The rate differs per city or municipality but usually does not exceed 0.75% of the total purchase price (or the fair market value, whichever is higher).
Who Pays?: Commonly the buyer, unless otherwise agreed.
Deadline: Usually required to be paid before registering the title with the Register of Deeds.

3.4 Miscellaneous Fees

Registration Fees: The Register of Deeds will charge registration fees based on a sliding scale.
Notarial Fees: Typically borne by the buyer, but may vary per arrangement.
Other Fees: Such as penalties or surcharges if any taxes are paid late.

Important Note: Always confirm the details, payment deadlines, and compute the amounts with the BIR or a reputable accountant or legal counsel.

4. Obtaining the BIR Certificate Authorizing Registration (CAR) or eCAR

Submission of Documents:
- Once the CGT (or CWT, if applicable) and DST have been paid, submit proof of payment together with the notarized DOAS, the latest tax declaration, and other supporting documents to the BIR.
- The BIR will review the documents and ensure all taxes have been settled.
BIR Inspection and Clearance:
- The BIR issues the Certificate Authorizing Registration (CAR) or eCAR, signifying that the property is cleared for transfer.
- Processing time may vary depending on the BIR office and volume of applications.
Double-Check Property Zonal Value:
- The BIR uses a “zonal value” (or fair market value) to calculate taxes. If the sales price is below the zonal value, taxes are computed using the higher zonal value.
- If there is a discrepancy, expect additional fees or be prepared to clarify with the BIR.

5. Title Transfer at the Register of Deeds

Present the CAR/eCAR and Other Documents:
- Submit the CAR/eCAR along with the original title (Transfer Certificate of Title or Condominium Certificate of Title) and notarized DOAS to the Register of Deeds where the property is located.
- Also provide valid government-issued IDs of both buyer and seller.
Pay Registration Fees:
- The Register of Deeds will compute registration fees depending on the property value. Payment is made over the counter.
Issuance of New Title:
- After due processing, the Register 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.
- Keep track of the official receipt or claim stub. The Register of Deeds will inform you of the time frame to pick up the new title.

6. Updating the Tax Declaration at the Local Assessor’s Office

Submission of Documents:
- Bring the new TCT or CCT (in your name) to the local Assessor’s Office to have the tax declaration transferred into your name.
- You will typically need the following documents:
  - New title (original and photocopies)
  - Notarized DOAS (photocopy)
  - CAR/eCAR (photocopy)
  - Official receipts of tax payments
  - Latest real property tax clearance (if required)
Assessment of Property Taxes:
- Once your name is reflected on the new Tax Declaration, you will be responsible for paying annual real property taxes (Amilyar) going forward.
Keep Copies:
- Keep a certified true copy of both the new title and updated tax declaration for your records. They are often required for future transactions, such as bank financing, selling, or mortgaging the property.

7. Special Considerations

Buying Through Bank Financing:
- If you financed the property through a bank loan or Pag-IBIG housing loan, the bank typically requires the original title as collateral.
- The bank may take the lead in facilitating tax and title transfer, but certain responsibilities (like paying the transfer tax) might still be yours. Read the loan documentation carefully.
Condominium Purchases:
- The Condominium Certificate of Title (CCT) process mirrors that of TCT transfers but may involve additional condominium association requirements or developer clearances.
- Monthly condo dues and other fees must be cleared by the seller before the Association will issue a clearance allowing the transfer to proceed.
Inherited Property or Properties Under Co-Ownership:
- If the seller is an heir or one of multiple co-owners, additional documents (such as an Extra-Judicial Settlement or Deed of Partition) might be required.
- Ensure all co-owners sign the DOAS or have executed a Special Power of Attorney (SPA) for a representative to sign on their behalf.
Non-Filipino Buyers:
- Philippine law restricts land ownership to Filipino citizens and certain entities (e.g., corporations with at least 60% Filipino ownership).
- Foreigners generally may only own condominium units (subject to the 40% foreign ownership cap in a condominium corporation).
- Consult counsel for compliance issues.
Rural or Agricultural Land:
- Agricultural lands are subject to strict limitations. If you are acquiring farmland, confirm that the seller holds a DAR (Department of Agrarian Reform) clearance, if required, and that the land can be sold without violating agrarian-reform regulations.

8. Practical Tips and Reminders

Consult Professionals:
- Before finalizing payment and during the transfer process, engage a lawyer who is knowledgeable in Philippine property law.
- A credible broker or real estate practitioner can also guide you through local requirements.
Monitor Deadlines:
- Taxes (CGT/CWT and DST) must be settled within strict deadlines. Late payments incur penalties and surcharges.
- Delaying BIR and LGU processes can cause complications in transferring the title to your name.
Document Safekeeping:
- Keep duplicates of all notarized documents, receipts, and government clearances in a secure location.
- Once you obtain the new title, store it in a fireproof cabinet or safe deposit box.
Understand Contract Clauses:
- The DOAS, as well as any preliminary Contract to Sell, may have clauses addressing who shoulders which tax and fees.
- Make sure you fully understand your obligations under the contract.
After-Tax Computation:
- If the seller fails to pay the correct CGT or if there is a dispute about tax values, it can delay issuance of the CAR/eCAR. Coordinate with the seller to avoid complications.

Conclusion

Purchasing real property in the Philippines is a multi-step process that does not end with the simple act of payment. After payment is completed, you will need to:

Notarize the Deed of Absolute Sale.
Settle the required taxes (CGT/CWT, DST, local transfer tax).
Secure the Certificate Authorizing Registration (CAR/eCAR) from the BIR.
Process the title transfer at the Register of Deeds, culminating in a new TCT/CCT in your name.
Update the Tax Declaration at the local Assessor’s Office.

Staying compliant with these requirements ensures a smooth and legally sound transfer of real property in the Philippines. Because details can vary significantly depending on the property type, location, and specific contract provisions, always work with knowledgeable professionals (lawyers, accountants, licensed brokers) to safeguard your investment.