Referral Banners

Sunday, March 10, 2013

Deed of Sale of Motor Vehicle

Every time we do have a sale transaction, especially those involving real properties and motor vehicles, we need to make sure that the property will be transferred in our name after we have made the payment or simultaneously when the payment is made.
How is this done? Well, the seller or transferor of the property must be made to execute or sign a Deed of Sale. This instrument will be the basis, in case of real property, of the Register of Deeds to cancel the title of the former owner in favor of the buyer or transferee of the property. The Deed of Sale will contain the name of the seller, the terms and conditions of the sale which includes the selling price, the manner of payment of capital gains tax, and the date the sale is consummated. The document must be notarized by a Notary Public. In the Philippines, the notary public should be a Lawyer. Please also take note that if the seller of the property is married, the consent of his/her spouse is required in the document.

You can draft the deed of sale yourself if you want that the notarial fees would be a lot cheaper than when it is the lawyer who will draft the document. Here is a sample of a Deed of Sale:


            This Deed is executed by (seller's name), Filipino, of legal age, single/married, with residence and postal address at _______________________________________, hereinafter known as the VENDOR.


            That the herein Vendor is the owner of a motor vehicle which is more particularly described as follows:

                        Make                :           
                        Type of Body     :           
                        Serial/Chassis No.:         
                        Motor No.         :           
                        Year Model       :           
                        Plate No.           :           
                        MV File No.      :           
            That for and in consideration of the sum of _____________________________ (P _____________), Philippine currency, in hand paid and receipt of which is hereby acknowledged by the VENDOR to his entire satisfaction from (buyer's name), of legal age, Filipino, single/married and a resident of ______________________________________, by virtue of these presents, hereby SELL, CEDE, TRANSFER, and CONVEY unto the said (buyer's name), his heirs and assigns the above described motor vehicle, free from all liens and encumbrances.

            That the herein VENDOR hereby warrants his full right and civil capacity to transfer and dispose said motor vehicle, and will defend the same against any adverse claims whatsoever.
IN WITNESS WHEREOF, the parties hereto have signed this deed this ________ day of ____________, 20___, at __________________________, Philippines.


Signed in the Presence of:

            ____________________________                                   ______________________________


City of ________                             ) S.S.

            BEFORE ME this _____ day of ___________, 20___, at _____________, Philippines, personally appeared_____________________________, known to me to be the same person who executed/signed the foregoing document in my presence, identified through his _______________ Identification Card No. _____________, which bears his photograph and signature, and he acknowledged under oath to me under penalty of law,  that the whole contents therein are true and that the same is his free and voluntary act and deed.


                                                                                                                Notary Public

Doc. No. _____________
Page No. _____________
Book No. _____________
Series of 20_______.


  1. Thanks a lot!
    would you know how much it cost if I have this draft and the only thing for the notary is to sign?

  2. I was searching over the internet an example of deed of sale of motor vehicle because we just purchased a motor here in our place.

  3. it depends upon the selling price. If you prepare the document yourself,it would probably be less 60%.

  4. if the selling price is 100k how much would it be ?

  5. How about open deed of sale? I am the third owner of motor vehicle, I buy it from the 2nd owner and he gave me an open deed of sale from the day i purchase until now ididnt sign it and even no notary, what is the consequense to be charge if im got captured by the law enforcer, i want a proper legal documents, please advice

  6. DM, you need to have that Deed of Sale notarized because legally you are not the owner of that. If you get caught without ownership documents, the law enforcer can presume it's carnapped.

  7. If the owner is a company, is it fine that I will name the check to president of the company and deposited it in his account? Is this a best practice? What is the implication

    1. It must be in coMpany's name and ask for official receipt. The president can encash the check and use it for personal use if it is in his name.

  8. Hello, I'm buying a second hand car but the name in the OR and CR is still that of the first owner of the car while the person I am buying the car from is supposed to be the second owner but failed to transfer the car ownership under him. He says that transfer of ownership is expensive, like 20K pesos so he didn't do it since this is, according to him, not necessary? is he right? So what needs to be done and what proof will I have that he will receive a certain amount of money from me, does he issue an official receipt? is the OR and CR enough? who will be named vendor, the current owner/seller or the first owner whose name is still the one that appears in the OR and CR? what documents are needed to show that I am the owner of the car? Can you place a phrase in the deed of sale that the vendor will have to refund all the money in case the car is found to be stolen?

    1. He is not right. Transfer of the ownership is necessary as this is your proof in case your possession of the vehicle is questioned. You need to obtain from him the Deed of Sale which the previous owner signed as proof that the said car was really sold to him. Then between you and this seller, you need the Deed of Sale also before you pay him. The Deed of Sale is enough proof of payment. You can add the phrase on refund in the Deed of Sale if you want to.

    2. how would i put in the deed of sale (i'm the buyer) if the motor vehicle is a dropped vehicle

  9. This comment has been removed by the author.

  10. Is it possible that a notary public will sign and notorized a deed of absolute sale without any signature of the seller or vendor?

  11. How much it will cost me for the deed of sale if the selling price is 485t?

  12. How much will it cost me for the deed of sale if the selling price is 485t?

    1. depends on the lawyer. there are those who will charge 5-10% of the selling price

  13. especially those involving real properties and motor vehicles, we need to make sure that the property will be transferred in our name after we have made the payment or simultaneously when the payment is made.
    Bajaj Specs

  14. Butch Ros it is not possible that a notary public will notarize a deed of sale without signature of the parties.

  15. This comment has been removed by the author.

  16. Hi Guys,

    My sasakyan ako na bibilhin tapos tanong ko lang ano yung mga documents na kukunin ko sa kanya aside from the OR and CR. Then ung sa Deed of Sale sino ba dapat mg babayad dun ang seller o ang buyer and how much po ang mababayad kaya if 100k ang price ng vehicle. Kasi dami ko babayaran pa pati ang registration sa vehicle kasi expired na..

    1. 5% ng selling price, but it depends sa place niyo magkano ang usual charge ng lawyer. It depends din sa agreement niyp king sino magbabayad ng Deed of Sale