purchasing a pre-owned condo

[aubrey28]

Hi,

Can someone help me with my problem. I want to purchase a pre-owned condo unit but the problem is
the title of the unit is still  under the developer's name. I want to apply for a housing loan and I think one of the requirements is the CCT which the seller doesn't have. Thanks!

TIA

[Jei.chun]

^hi sis. try ko sagutin tanong mo ha... hindi ka makakapag-apply ng housing loan kung hindi nakapangalan sa yo yung CCT. Bakit sis nakapangalan pa sa developer yung CCT? si developer kasi yung nagpa-process ng transfer ng title. tsaka sis bakit walang CCT si seller? i think u have to check this first. baka kasi naka-loan pa din yung property.

[aubrey28]

Yeah naka-loan pa rin [textspeak!] property ng seller. Too complicated bang bumili ng pre-owned condo with this kind of situation?

[aquacharly]

Yes. That's kinda risky.

There is usually a partial release  mechanism.
As a unit is sold & paid for (either by the buyer or the financing bank), the CCT is released to the buyer -- AFTER a pre-agreed upon % of the developer-seller's loan is paid. 

[aubrey28]

Well I think medyo matagal magrelease ng title [textspeak!] developer. Pero I'm kinda worried about the process. Baka super complicated and stressful.

[Jei.chun]

^ if may existing loan pa si seller and you are really interested sa property baka mas ok na i-assume mo na lang yung loan ni seller. ikaw na lang yung magtutuloy magbayad ng loan nya. if im not mistaken, you just need to execute deed of sale with assumption of mortgage. at kailangan na pumasa ka pa rin sa credit evaluation bago ma-transfer sa yo yung loan. try mo makipag-coordinate kung saan yung existing loan nya.

[aubrey28]

If i-aasuume ko [textspeak!] loan nyo, pano ang interest rate and terms of payment? Same din ba with his existing loan sa bank?

[aubrey28]

*nya. Thanks again!

[Jei.chun]

^ usually sis eh same rate, terms and conditions pero depende kasi sa banko yun sis. may bank na pumapayag na i-restructure yung loan based sa capacity ng new borrower. like yung sa brother-in-law ko... may in-assume sya na property na naka-mortgage sa banko. nag-submit sya sa banko ng notarized deed of sale with assumption of mortgage. initially, itinuloy lang nya yung pagbabayad using the same term and rate pero since ok naman yung credit standing nya and pumasa naman sa credit evaluation, na-grant-tan sya ng new housing loan na pang-take-out sa property na in-assume nya. this time, mas mababa interest rate. bale, na-paid-off yung account na nakapangalan sa seller nya and nag-create si bank ng new acct under my brother in law's name. nalipat sa pangalan na nya yung property pero yung expenses sa pag-transfer ng name ng TCT eh kay brother-in-law na. Si bank na din nag-process ng transfer pero syempre may bayad lahat.

[aubrey28]

Thanks for answering all my questions. I think the process is too complicated, might as well buy a new one. I'm an OFW din kasi, so added factor din sya sa complexity ng situation.

[deniseangela]

^ If the title is not yet under the name of the Seller (still under the Developer pa)  and it's mortgaged with the bank, ang pwede gawin is to pay off the loan. This is what the bank told us before. Di pa puwede ata i-assume ang balance pag di pa na-release ang title sa name ng Seller/Borrower. After the loan is paid, puwede na mag- execute ng Transfer of Rights muna from the Seller to the Buyer. Then the transfer of title will be from Developer directly to the new buyer na pag na-release na un CCT.
Kaso usually, matagal talaga mag-release ng title ang mga developer. Mine took 3 years from date of turnover bago na-release ang title at nalipat sa name ko. Kung di pa ako nangulit kasi nga I wanted to sell na the unit. Yun ang mahirap pag bumibili ng pre-selling na condo, if you want to sell it and yun prospective buyer prefers na may title na, mahirap ibenta. It happened to me, my prospective buyer then was from abroad, they preferred na may title na, which I understood din naman kasi nga meron din risk na di ma-release ang title or matagalan. Kaya importante din kung sino ang developer.

[aubrey28]

Thanks! Actually, I really like the unit kaya lang right now parang hesitant na kong kunin sya dahil nga sa risk involved and complicated na process.