Simple Contract To Purchase (Real Estate) Template for Philippines

The Simple Contract To Purchase (Real Estate) is a fundamental legal document used in Philippine real estate transactions to formalize the agreement between a buyer and seller for the transfer of real property. This document is essential when parties have agreed on basic terms and need to document their rights and obligations before proceeding with the final Deed of Absolute Sale. It includes crucial elements required under Philippine law such as property details, price, payment terms, and conditions for closing. The contract serves as a preliminary agreement that binds both parties while conditions precedent to closing are being fulfilled, such as title verification, tax clearance obtainment, and securing financing if required. It must comply with Philippine property laws, including the Civil Code, Property Registration Decree, and relevant tax regulations. This document is particularly important in protecting both parties' interests during the period between agreement and final closing of the sale.

1. Parties: Identifies and provides complete details of the seller and buyer, including their legal names, addresses, and civil status as required under Philippine law

2. Background: Brief context of the transaction and acknowledgment of seller's ownership and authority to sell

3. Definitions: Defines key terms used throughout the agreement for clarity and legal certainty

4. Property Description: Detailed description of the real estate property including lot number, title details, boundaries, and technical description as per the title

5. Purchase Price: States the total purchase price and currency, breaking down any taxes and fees

6. Payment Terms: Specifies the payment schedule, method of payment, and consequences of default

7. Conditions of Sale: States that the property is sold on an 'as-is-where-is' basis and lists any encumbrances or liens

8. Representations and Warranties: Seller's warranties regarding ownership, absence of undisclosed liens, and buyer's acknowledgments

9. Closing and Transfer of Title: Details the process and timeline for executing deed of sale and transferring title

10. Taxes and Expenses: Allocation of transfer taxes, registration fees, and other transaction costs

11. Default and Remedies: Consequences of breach and available remedies to either party

12. Governing Law: Specifies Philippine law as governing law and jurisdiction for disputes

13. Execution: Signature blocks with requirements for notarization under Philippine law