Professional Documents
Culture Documents
Reviewer Q A 2011 Appraiser
Reviewer Q A 2011 Appraiser
Reviewer Q A 2011 Appraiser
cesacademy@cesson.com.ph; www.facebook.com/cesacademy
3. Data to be inspected by the broker to check if property he is selling is the one covered by title
□ Shape, size, frontage, depth, boundaries
13. Three cases when buyer of leased property bound to respect the leasehold
□ When the lease is registered
□ When the buyer has actual knowledge of the lease;
□ When the lease contract provides that the buyer has to respect the lease.
14. What are the two features of RA 6732 re-administrative reconstitution of title
□ Administrative reconstitution can only be availed of when the original certificates of titles in the Registry of
Deeds were lost or destroyed by fire, flood or force majeure;
□ Administrative reconstitution can only availed of when the original certificates of title lost are at least 10% of
all the titles in the Registry of Deeds;
□ Administrative reconstitution of titles shall be without prejudice to parties whose rights or interests may been
annotated on the lost or destroyed original certificates of titles.
15. Documentary requirements for DAR clearance in sale of 5-hectare agricultural land
□ Application for DAR clearance
□ Copy of title, lot and vicinity plan
□ Seller’s affidavit of non-tenancy or tenant’s affidavit of voluntary surrender
□ Seller’s affidavit that the hectarage he is selling is his retention area
□ Buyer’s affidavit that the hectarage he is buying, together with his present agricultural landholdings
If any, does not exceed 5 hectares
□ Municipal assessor’s certification of seller’s and buyer’s extent of landholding in the municipality
□ Provincial assessor’s certification of seller’s and buyer’s extent of landholding in the province
□ Clearance from National Irrigation Authority
19. Limitations on realty acquisition of former natural born Filipinos under BP 185
□ Acquisition shall be for residential purpose;
□ Maximum area allowed for acquisition is 1,000 sqm. for urban land or one hectare for rural land.
Note : Per RA 8179 acquisition for business purpose is 5,000 sqm. for urban or 3 hectares for rural land.
□ Acquisition shall be limited to two lots located in different cities or municipalities provided that it will not
exceed 1,000 sqm. for residential and 1 hectare for rural land;
□ Acquisition shall be limited to either rural land or urban land and not both.
21. Instances where foreigners can acquired real estate property in the Philippines
□ Acquisition before the 1935 constitution;
□ Purchase of condominium unit not exceeding 40% interest in the project;
□ Acquisition through hereditary succession provided he/she is a legal heir;
□ Acquisition of former natural born Filipinos for residential purpose under BP 185 or for business purpose
under Rep. Act. No. 8179
29. Factors that determine the loanable amount under HDMF (Pag-Ibig) Circular 189-C
□ Loanable amount based on -
- actual need
- member’s contribution
- member’s income or capacity to pay
- collateral ( or loan to collateral ratio)
32. Give four (4) kind of local taxes that may be imposed by local government
□ Basic realty tax, Special Education fund tax, Idle land tax and transfer tax, socialized housing tax,
and transfer tax ( applicable to transfer of real estate properties) all payable at the Treasurer’s Office
34. Properties not considered capital assets? (Or properties considered ordinary assets)
□ Properties constituting inventories for sale ( or stock-in-trade);
□ Properties used in connection with trade, business or source of income
□ Acquired assets of financial institutions
□ Properties owned by resident foreign corporation
□ Properties owned by non-resident foreign corporation
36. Conditions in the sale of personal residence re-capital gains tax exemption
□ The seller must be a natural person
□ The property sold must be his personal residence as certified by the barangay official
□ Sworn undertaking that the proceeds shall be used in acquiring or constructing another personal residence
within 18 months from date of sale
□ Exemption can only be availed once in every 10 years;
□ Intent to to avail the privilege within 30 days from sale to BIR from date of sale
Note: The unutilized portion of the proceeds of the sale is subject to capital gains tax subject to interest of
20% per annum if not paid within 30 days from date of sale ( not purchase).
38. Four criteria to qualify as beneficiary for the socialized housing program
□ Must be Filipino citizen
□ Must be under privilege and homeless
□ Must not own real estate property whether in urban or rural area
□ Must not be a professional squatter or a member of squatting syndicates.
44. Five fundamental principles in appraisal, assessment, levy and collection or realty tax
□ Appraisal of real estate shall be based on current and fair market vale;
□ Appraisal of real estate shall be uniform within each political subdivision;
□ Assessment shall be based on actual use;
□ Assessment shall be based on uniform standard of value within each political subdivision;
□ Appraisal and assessment for taxation purpose shall not be let to private parties.
46. Three alternative sharing schemes in a joint venture agreement of subdivision project
□ Allocation of lots or developed units (most common practice)
□ Percentage sharing on sales proceeds;
□ Percentage sharing on net profit
48. Real estate transactions which are exempted from value added tax
□ Sale of real estate classified as capital assets by the BIR (in all cases);
□ Sale of lot by dealers or developers classified as ordinary assets valued at P1.5 million and below;
□ Sale of house and lot by dealers or developers classified as ordinary assets valued at P2.5 million and
below;
□ Sale of socialized and economic housing (BP 220)
□ Lease of commercial properties where rental per year do not exceed P1, 500,000.00
□ Lease of residential properties with monthly rental of P10,000.00 per month or below per unit regardless of
the aggregate amount;
□ Lease of residential properties with monthly rental exceeding P10,000.00 however aggregate amount does
not exceed P1,500,000.00;
51. Restrictions on property rights. Briefly explain (The first 3 is also the inherent powers of the State)
□ Taxation - the constitution allows the government (local and national) to impose taxes to owners of realty
and realty transactions:
□ Police Power - land use plan, height limitation, government regulations on development and use of property
are examples of police power;
□ Eminent Domain – the right of the government to expropriate private property if it is for the benefit of the
public like acquisition of right of way or expansion of roadways;
□ Escheat - the real estate property owned by a deceased person goes back to the state if there is no will left
and no qualified heirs.
53. Two requisites under Maceda Law to be complied by real estate developer before cancellation of
Contract to Sell where buyer has paid at least 24 monthly installments.
□ 30-day notarial notice
□ payment of refund
54. Government approvals required for development of an agricultural land into a subdivision project.
Give at least five.
□ Dept. of Agrarian Reform – conversion permit (agricultural to other uses)
□ Department of Environment and Natural Resources – environmental compliance certificate (ECC)
□ Local Government – development permit and locational clearance
□ Land Management Bureau or Land Registration Authority – approval of lots individual technical description
□ Registry of Deeds – individual title
□ Housing and Land use Regulatory Board – license to sell and certificate of registration
□ Others
• Department of Agriculture - clearance
• Laguna Lake Development Authority ( if project is near Laguna Lake)
• Philippine Tourism Authority - if applicable
55. Grounds for suspension or revocation of real estate brokers license with respect to his
relation with the government. Give five.
□ Procuring license thru fraud, deceit or false statement of facts;
□ Making rebate on commission with an unlicensed real estate practitioner;
□ Failure to indicate his license number in his letterhead signboard and advertisement
□ Any act or conduct that may demonstrate incompetence, dishonesty, fraudulent, or improper dealing;
□ Disregard the law and licensing regulations.
57. Give at least five (5) real estate transaction where capital gains tax maybe imposed.
a.) Deed of Sale b.) Deed of Exchange c.) Deed of Assignment
d.) Pacto de retro Sale e.) Foreclosure Sale f.) Conditional Sale
g.) Expropriation Sale h) Dacion en Pago
58. Should there be violations uncovered in the payment of capital gains tax, donors tax, estate tax,
there are three (3) other charges, in addition to the basic tax, that maybe imposed by the BIR. What are these?
a.) 25% to 50% surcharge b.) 20% interest per annum c.) compromise penalty
60. Modes of acquiring real property to be used as right-of-way of government infrastructure projects.
a.) donation b.) negotiated sale c.) expropriation
61. Give five(5) government agencies involve in the preparation of the necessary rules and regulations
implementing RA 8974- an act which facilities the right-of-way acquisition for government infrastructure
projects.
a.) Dept. of Public Works and Highways - chairperson
b.) Dept. of Transportation and Communication - member
c.) Dept of Energy - member
d.) Dept. of Justice - member
e.) Presidents of leagues of provinces, cities and municipalities - member
62. Title to real estate property can be transferred to another person even without the written consent of the
registered owner.
a.) tax sale by treasurer’s office (LGU) c.) expropriation sale (eminent domain)
b.) foreclosure sale by financial institutions d.) execution sale (by court’s order) –judicial foreclosure
63. Two (2) laws which give rights to balikbayan who are natural born Filipino citizen to acquire land to be
used for residential or business purpose.
a.) BP 185 – for residential use – 1000 sqm. maximum for urban area OR 1 hectare for rural (one option only)
b.) RA 8179 – for business purpose – 5,000 sq.m. for urban area; 3 hectares for rural area
Note : Combination of BP185 and RA8179 is allowed
65. Give two (2) laws which protect buyers of subdivision and condominium on installment
a.) RA 6552 (Maceda Law) - Installment Buyers Protective Decree
b.) PD 957 – Subdivision and Condominium Buyers Protective Decree
66. Kinds of marriage settlement governing property relations of husband and wife
a.) absolute community regime THE FAMILY CODE OF THE PHILS. (E.O. 209)
b.) conjugal partnership of gains Effectivity : August 3, 1988
c.) absolute separation regime
67. Annotations or encumbrances which can be found at the back of certificate of title
a.) mortgage lien e.) Affidavit of loss title i.) Lis pendens
b.) tax lien f.) writ of attachment j.) Contract of lease
c.) mechanics lien g.) writ of execution k.) Subdivision restrictions
d.) notice of adverse claim h.) right-of-way l.) Special Power of
Attorney
m) Sec 7 Rule 74 Rules of Court ( about reconstitution of title) – 2yr prescriptive period
n) Sec. 4 Rule 74 of the Rules of Court ( about settlement of estate – title is acquired by inheritance)- 2yrs
68. Three (3) instances not subject to documentary stamp tax re-transfer of real property
a.) donation c.) purchase of socialized housing
b.) inheritance d.) transfer of property thru CARP or CMP
69. Penalties for professional squatters or squatting syndicates per RA 7279 (UDHA)
□ 6 years imprisonment or fine of not less than P60,000.00 but not more than P100,000.00 or
both at the discretion of the court
71. Government agencies responsible for the relocation of squatters under RA 7279
a.) local government unit b.) National Housing Authority
□ The Torrens System of Land Registration – governed by Land Registration Law ( Act 496). It was amended
by PD 1529 known as Property Registration Decree.
□ Registration of unregistered land under Act 3344 at the Registry of Deeds.
83. Grounds for suspension of license to sell / cease and desist order (PD 957/BP 220)
□ Upon verified complaint of the buyer;
□ Misleading information in the registration;
□ When the developer/dealer is engaged in any act or practice which constitute violation
84. Alternatives for the 20% compliance on a socialized housing under PD 957 (Sec. 18 RA 7279)
□ Development of new settlement
□ Slum upgrading to be certified by NHA and LGU concerned
□ Participation in the CMP either as financer or developer
□ Joint venture project with the LGU concerned consisting of:
- participation equivalent to 20% of the project area of
- 20% of the total project cost
□ Purchase of socialized housing bonds from Pag-Ibig
□ Purchase of Home Guaranty Corp. Special Series Bond
86. Four effects where a beneficiary of the socialized housing program unlawfully sell, transfer or otherwise
dispose of his lot or rights thereon. (REF. RA7279 – Urban Dev. and Housing Act – Lina Law)
□ The beneficiary loses his/her right over the land.
□ Amortization paid is forfeited;
□ He/she is barred from benefits of socialized housing for 10 years;
□ The sale is null and void.
87. Three conditions where the legitimate need of the lessor to possess his property for his own use maybe
invoked as a ground for judicial ejectment. ( RA 9653- RENT CONTROL ACT OF 2009)
□ The period of lease expires; TO EXPIRE ON DEC. 31, 2013
□ There’s a three month advance notice; P5K - P10K ; 7% max. increase
□ The lessor will live for at least one year for residential unit only
□ Lessor has no other dwelling
88. Two effects of implied new lease on the terms of the original contract . ( TACITA RECONDUCTA)
□ There is deemed a new contract of lease;
□ Some terms of the original contract can be reinstated or revive.
91. Options of an installment buyer of a subdivision lot when the developer fails or refuses to complete the
development of the projects within the required period.
□ Suspend amortization payment after notice to developer and HLURB;
□ 100% refund of total payment, less penalty interest, plus legal interest (cost of money) – 12%
92. Under the Urban Land Reform Law, what are the requisites to entitle the tenant to the right of first
refusal.
□ The land is located in urban land reform area
□ The tenant is a legitimate tenant for at least 10 years;
□ The landowner is selling the land.
93. Warranties of the developer to HDMF on their memorandum of agreement ( with buy-back and back-up
guaranty) in relation with HDMF Circular 189-B
□ Warranty on buyer /loan applicant’s documents;
□ Warranty on land title;
□ Warranty on land development
□ Warranty on housing completion;
□ Compliance with laws, rules and regulations
□ No misrepresentation of agents who will transact business;
□ Buy-back guaranty should the borrower defaults on the loan.
94. Give three (3) special documentary requirements for conversion of agricultural land if the applicant is a
beneficiary of agrarian reform program.
1. Certification from Provincial Agrarian Reform Officer (PARO) that at least 5 years have lapsed since the
award of the land.
2. Certification from the Land Bank that the beneficiary has fully paid his obligation.
3. Joint venture agreement or any other business arrangement between the beneficiary and the developer.
95. Give at least 3 priority development areas for conversion in accordance with RA 7916, EO 124 of 1993
and EO258 of 2000.
1. Specific areas identified by DTI and Dept. of Agriculture.
2. Tourism development areas identified by Dept. of Tourism
3. Agricultural areas intended for ecozone projects.
4. Agricultural lands owned by the government to be developed for national interest.
5. Agricultural lands to be developed for processing plants of agricultural products.
6. Telecommunication sites for National Telecommunication Commission.
98. Enumerate at least 3 differences of capital gains tax and creditable withholding tax.
Capital Gains Tax Creditable Withholding Tax
1. Rate - 6% of tax base - variable from 1.5% to 5% (developer)
6% for other corporations
2. Applicability - for capital asset - for ordinary asset.
3. Kind of tax - final tax on presumed - advanced tax to be credited to future
income or final witholding tax income tax