CESAR E. SANTOS REAL ESTATE ACADEMY, INC. cesacademy@cesson.com.ph; www.facebook.

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QUESTIONS and ANSWERS (Enumeration) Past exams with additional review Q&A 1. 2.

By: CESAR E. SANTOS

Give 5 modes of acquiring ownership or real estate property Public grant, private grant, involuntary grant, inheritance, accretion, prescription Give at least 5 principles which affect values of real estate Substitution, anticipation, highest and best use, law of supply and demand,

conformity, contribution, increasing and diminishing return, surplus productivity

3. 4. 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 What are the data to be presented by the broker to a prospective buyer Property identification location, lot and block number, survey number, title number, area of lot

and description of improvements.

5. Price, terms of payment, expenses of sale Advantages and benefits like accessibility, utilities and community facilities available Potential income for income producing properties, return of investment.

Modes of extinguishing agency for real estate brokers (EDWARD) Expiration of the period Death, insanity, civil interdiction or insolvency of principal or agent Withdrawal of the agent Accomplishment of the purpose Revocation of the principal of the agency Dissolution of the company which granted or accepted the agency Give examples of installment not covered by Maceda Law Sale of commercial buildings Sale of industrial lots Sale to tenants under RA 3844 Installment sale covered by Deed of Sale with Mortgage and not Contract to Sell Distinguish real estate mortgage and chattel mortgage Real estate mortgage covers real estate property, while chattel mortgage covers personal property Real estate mortgage must be in public instrument (notarized) while chattel mortgage maybe in private document provided It is accompanied by affidavit of good faith Real estate has right of redemption while chattel mortgage has none. Distinguish real estate mortgage and antichresis Possession - In real estate mortgage possession of the property is still with the mortgagor while in antichresis possession is with the creditor (mortgagee) Collection of Fruits - In real estate mortgage, the mortgagor retains the right to collect the fruits of the property, while in antichresis, the mortgagee collect the fruits and apply it to the interest and then to the principal. Realty Tax - In real estate mortgagee, the mortgagor pays the realty tax of the property while in antichresis, the mortgagee pays the realty tax. Essential requisites of real estate mortgage It must be executed to secure a principal obligation The mortgagor must be the owner of the property The mortgagor must have free disposal of the property It must be registered t bind third parties

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10. Characteristics of real estate mortgage It is a real right It is an accessory contract It is indivisible It is inseparable It is a lien It can secure all kinds of obligation

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11. Cases when conventional redemption is presumed an equitable mortgage When the price of the sale with right of redemption is unusually inadequate; When the vendor retains possession of the property as lessee or otherwise; When, after the expiration of right to repurchase, the redemption period is extended or renewed; When the vendor retains for himself a part of the purchase price; When the vendor binds himself to pay the taxes on the property. 12. Priority rights in case of double sale Buyer in good faith who first registered the sale; In the absence of registration, the buyer in good faith who first took possession; In the absence of registration and possession, the buyer in good faith who can present the oldest title. 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 Sellers affidavit of non-tenancy or tenants affidavit of voluntary surrender Sellers affidavit that the hectarage he is selling is his retention area Buyers affidavit that the hectarage he is buying, together with his present agricultural landholdings If any, does not exceed 5 hectares Municipal assessors certification of sellers and buyers extent of landholding in the municipality Provincial assessors certification of sellers and buyers extent of landholding in the province Clearance from National Irrigation Authority 16. Classification and use of lands exempted from CARP Law Lands actually, directly and exclusively use for prawn farm and fishponds; Lands devoted to raising of livestock; poultry or swine Agricultural lands with slope of 18% or more Lands actually; directly and exclusively used and found necessary for parks, wildlife, forest reserves reforestration, fish sanctuaries, and breeding grounds, watersheds and mangroves; Lands actually, directly and exclusively used and found necessary for national defense, school sites, church sites, mosque sites, communal burial grounds and penal colonies. 17. General classification of critical projects requiring environmental impact study Heavy industries Extractive industries Golf courses 18. Cases were conversion of agricultural lands cannot be allowed Agricultural lands within restricted areas designated under the National Integrated Protected Areas System (NIPAS), including watershed and recharged areas for acquifier Irrigated lands where water is available for rice and other crop production and all irrigated lands where water is not available but are within areas programmed for irrigation facility rehabilitation; Irrigable lands already covered by irrigation projects with firm funding commitment; Agricultural lands with irrigation facilities operated by private organizations.

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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. 20. Bundle of rights inherent to ownership Right to possess, right to use, right to the fruits, right to dispose, right to recover and right to exclude others, right to mortgage and lease. 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 22. Properties exempt from rent control Motels and motel rooms, hotel and hotel rooms, dormitories, boarding house and bed spaces 23. Steps in subdivision development Title verification if the developer is not the owner ( or say in joint venture cases) Preparation of feasibility study ( profit, market, finance, technical and social desirability) Surveying ( relocation and topographic surveys) Preparation of subdivision plans. Procurement of government approvals (DENR for environmental compliance certificate; DAR for conversion permit ( if applicable); LGU for development permit and locational clearance; LMB or LRA for approval of subdivision plan and technical descriptions of individual lots; RD for individual titles and HLURB for license to sell and certificate of registration) Development Sales and marketing 24. Steps in condominium development Title verification ( if developer is not the landowner) Preparation of project feasibility study ( like in subdivision development) Building plan preparation Procurement of government approvals Execution and registration of master deed with deeds of restriction with the Register of Deeds Organization of condominium corporation Transfer of land title and common areas to the condominium corporation Development Securing of license to sell and certificate of registration from HLURB Sales and Marketing 25. Rights of condominium unit owner Absolute ownership of his condominium unit Co-ownership of the land and common areas Exclusive easement to the space of his condominium unit Non-exclusive easement, for ingress and egress, to the common areas Right to sell, mortgage or lease his unit Right to improved the interior portion of his unit Right to attend and vote in meetings of condominium corporation 26. Requirements for approval of simple subdivision Site development plan; vicinity plan; certified true copy of title; compliance with minimum design standards

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27. Three (3) instances where license to sell is not required Sale of subdivision lot resulting from partition among co-heirs or co-owners; Sale by the original purchaser or any subsequent sale of the same lot or units Sale by or on behalf of a mortgagee to liquidate a bona-fide mortgage obligation Sale of real estate property classified as capital asset by the BIR 28. Four (4) pointers in map reading 1) Cardinal directions 2) scale 3) contour lines 3) bearings and azimuths

29. Factors that determine the loanable amount under HDMF (Pag-Ibig) Circular 189-C Loanable amount based on - actual need - members contribution - members income or capacity to pay - collateral ( or loan to collateral ratio) 30. Major participants in the National Shelter Program of the government National Housing Authority; Housing and Land-use Regulatory Board; National Home Mortgage Finance Corporation and Home Guaranty Corporation 31. Support agencies in the National Shelter Program SSS, GSIS and HDMF (Pag-Ibig) 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 Treasurers Office 33. Real estate exempted from realty tax Real estate owned by Republic of the Philippines or any of its political subdivisions except when the beneficial use thereof has been granted to a taxable person; Real estate owned by religious and charitable institutions that are directly and exclusively devoted to religious and charitable purposes; Real estate owned by cooperatives; Machineries and equipment that are actually; directly and exclusively used by local water districts and government owned or controlled corporations engaged in the supply of water or generation of electric power; 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 35. Tax exemptions allowed to participants in socialized housing program Exempted from capital gains tax on sale of rawland Exempted from projected related income tax Exempted from transfer tax on the sale of rawland and housing inventories Exempted from value added tax on contractors Exempted from donors tax if land is donated for socialized housing 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).

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37. Scope of coverage of R.A. 7279 All lands in urban and urbanizable areas; Area for priority development (APDs); Zonal improvement sites Slum improvement and resettlement site 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. 39. What are the cardinal directions North, east, west and south

40. Effects of voluntary dissolution in a condominium corporation The corporation shall be deemed to hold a power of attorney from all members to sell their separate interest in the project ; Liquidation of the corporation shall be effected by the sale of the entire project subject to the rights of individual condominium creditors. 41. Effects of involuntary dissolution in a condominium corporation The common areas held by the corporation shall be transferred pro-indiviso and in proportion to respective interest of the members of the corporation; The transfer shall be deemed full liquidation of the interest of the members in the corporation. 42. What is the community mortgage program (CMP)? It is a financing scheme under the UHLP to enable residents in depressed areas to acquire their own lots by organizing themselves into a cooperative. 43. Three instances where escrow in real estate brokerage is proper When property is squatted and the seller undertakes the responsibility to eject them; When the title has certain annotations which the seller assumes cancellation of; When the seller is still occupying the premises given time to vacate it within the stipulated period. 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. 45. RA 9653 Rent Control Law of 2009 To expire on December 31, 2013 Applicable to residential units Monthly rental should not exceed P10,000.00 for NCR and highly urbanized cities Monthly rental should not exceed P5,000.00 for other areas Maximum increase per year is limited to 7% Lessor cannot demand more than: two (2) months deposit with one(1) month advance Penalties: fine from P25K to P50K or imprisonment of one month and 1 day to 6 months or both Grounds for judicial ejectment o Assignment or subleasing without written consent o Three months non- payment of rental (arrears) o Legitimate need of the owner or family use (immediate members direct descendants or ascendants by consanguinity or affinity) o Need of necessary repairs o Expiration of the lease contract

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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 47. Real estate transactions which are subject to VAT Gross receipts of the business or trade exceeds P1,500,000.00 per year, in general Leases of residential properties exceeding P10,000.00 per month per unit and annual gross receipts exceeds P1,500,000.00; Leases of commercial properties where annual gross receipts exceeds P1,500,000.00 Sale of subdivision lot valued more than P1,500,000 (ordinary asset) Sale of house and lot valued more than P2,500,000 (ordinary asset) 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; 49. Steps in estimating value of land and improvement in cost of approach Estimate the value of land, as if vacant (using market data approach); Estimate the reproduction cost new of the improvement; Estimate the depreciation from all causes; Deduct total depreciation from reproduction cost-new; Add the depreciated value of the improvement to the value of the land. 50. Modes of acquiring easement 1) Purchase 2) exchange 3) agreement between servient and dominant estate 4) prescription

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. 52. Four academic classification of real property. Give examples. Residential properties like residential subdivisions and condominiums; Commercial properties like commercial lots, commercial buildings, offices, malls; Industrial properties like warehouse, manufacturing facilities in an industrial lots; Agricultural lands like land devoted to rice production, prawn and fishponds. 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

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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. 56. Interpret survey symbols a.) BLLM - Bureau of Land Location Monument b.) PSD - Subdivision Survey by private surveyor c.) PSP - Private Survey Plan d.) PCS - Consolidation and Subdivision Survey by Private Surveyor 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 59. Give three(3) examples of involuntary sale. a.) tax sale b.) foreclosure sale c.) expropriation sale d) execution sale

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 treasurers office (LGU) c.) expropriation sale (eminent domain) b.) foreclosure sale by financial institutions d.) execution sale (by courts order) judicial foreclosure

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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 64. Three (3) ways to dissolve conjugal partnership a.) legal separation b. ) annulment of marriage c.) judicial decree of separation of property

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.) b.) tax lien f.) writ of attachment j.) c.) mechanics lien g.) writ of execution k.) d.) notice of adverse claim h.) right-of-way l.) Lis pendens Contract of lease Subdivision restrictions 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 70. When is eviction or demolition of squatters allowed under RA 7279 (UDHA) a.) When the squatters occupy danger areas such as esteros, railroad tracts, garbage dumps, riverbanks, shorelines, waterways, sidewalks, parks and playgrounds; b.) When government infrastructure projects with available funding are about to be implemented; c.) When there is a court order for eviction and demolition. 71. Government agencies responsible for the relocation of squatters under RA 7279 a.) local government unit b.) National Housing Authority 72. Amount of financial assistance to squatters if relocation is not immediately possible - 60 days multiply by current minimum wage prevailing in the area of subject property 73. Socialized housing tax under RA 7279 - All local government units are hereby authorized to impose an additional 0.5% tax on the assessed value of all lands in urban areas in excess of P50,000.00 assessed value. 74. Two kinds of original land titling/registration proceedings Administrative proceedings - for patents issued by DENR and DAR Judicial proceedings for voluntary or ordinary land registration case to be filed in court by the land owner or for compulsory or cadastral land registration case to be filed in court by the DENR. 75. System of land registration in the Philippines Laws of the Indies - as early as 1596. The law governing the registration of Land Grants issued by the Crown of Spain to the Spanish settlers- both civilian and the military, that were sent to the country to serve the crown. Spanish Mortgage Law - promulgated in the later part of Spanish regime which requires the establishment of the Registry of Property/Deeds. The law was in force and implemented when the Americans came.

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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.

76. Methods of creating fake titles Forgery counterfeiting or falsifying by imitation or by fabrication of a written instrument with the intention of substituting the false for the genuine. Falsification - altering the contents of a genuine title form. The serial/title numbers of the genuine title form are tampered and replaced to conform with those found in the genuine title in the file of the Registry of Deeds. Counterfeiting producing a completely false title or documents, as in the case of printing a title form using expensive paper with a texture that would approximate a genuine title form being used in the printing of the title by the BSP. Reproduction - use of sophisticated machines and paper materials to reproduce or copy a genuine title form, the falsity of which could not be easily detected by an ordinary person. Chemical/physical erasure its the traditional form of committing deception. Special types of chemical like alcohol, chlorine and acetone are used to erase original signatures and other printed data in the certificate of title. 77. Kinds of original titles issued under the Administrative Proceedings Patents issued by the LMB/DENR - Free Patent - issued by the Bureau of Lands (now DENR) under Public Land Act (Commonwealth Act No. 141) on the basis of the continuous occupation by the applicant to land classified as alienable or disposable land of the public domain. The last implementing law in the issuance of Free Patent was RA 6940 which expired on December 31, 2000. - Homestead Patent - grant of public land to persons seeking to establish and maintain agricultural homes on condition of actual, continuous and personal occupancy of the area as a home including cultivation and improvement of the land. - Sales Patent - for agricultural purposes the Insular Government Property Sales Application for Sales Patent is issued (RA 3038) - Miscellaneous Sales Patent - for residential, commercial, industrial, educational, charitable and other similar purposes is governed by Chapter IX of the Public Land Act (Com. Act 141 as amended) - Special Patent - issued on by the President of the Philippines for a particular purpose (e.g. reclaimed lands along Roxas Blvd. and in Cebu, untitled patrimonial property of the Phil. Government in the vast area of Fort Bonifacio 78. Give at least five(5) purposes of real estate appraisal. Sale or purchase of property / Financing and credit / Taxation ( local & national) Just compensation on expropriation cases/ Merger and Consolidation Insurance / Partition and liquidation of estate 79. Differentiate value in use and value in exchange Value in use value to the owner of the property or subjective value; Value in exchange the fair market value of the property or objective value 80. Three methods in estimating reproduction cost Quantity survey method - detailed computation of all the elements of cost (labor, materials and overhead) and the hardest for its time consuming; Unit-in-place method - estimating various parts of building like cost per sqm of flooring, walls, ceiling and roof Per sq. meter method - the simplest method commonly used by appraisers. 81. Three methods in estimating depreciation Over-all or simple age life method (RCN Depreciation Building Value) Modified age life method (RCN less Curable Items ) less Depreciation Bldg. Value Observed Condition Breakdown Method (RCN less % of Depreciation as observed) 82. Ground for revocation of registration certificate and license to sell (PD 957/BP 220) The owner or dealer is insolvent; Has violated any provisions of the law; Has been engaged in fraudulent transactions

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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 85. What is E.O. 45 of Pres. Gloria Macapagal-Arroyo? To cut red tapes, all applications, for housing permits, clearances, certifications with the LGU and other housing agencies involved, if possible, can be done simultaneously. LGU within 30 days for development permit HLURB within 10 days for certification of site zoning clarification HLURB within 10 days for CR and CTS from receipt of complete application and compliance with publication requirement DAR within 30 days for conversion or exemption order DENR within 45 days for ECC from receipt of application Mines and Geosciences Bureau within 10 days for Engineering Geological and Geohazard Assessment Report Laguna Lake and Development Authority for certification whether the project is within or outside the LLDA Dept. of Agriculture within 30 days Cert. of Eligibility for reclassification of agriland 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 Theres 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. 89. Give three requisites for the registration of an adverse claim. Claimants rights or interest is registered It is adverse to the registered owner; Claimants rights or interest arose to the date of the original registration 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.

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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 applicants 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. 96. Rights and privileges of installment buyers under Maceda Law 1. Thirty (30) days grace period for every year of payment; 2. Transfer of rights; 3. Acceleration of payment ; 4. Thirty (30) day notarial notice before contract cancellation; 5. Right of refund if buyer has paid at least 24 monthly amortizations 6. If buyer has paid less than 2 years rights before cancellation 60-day grace period 30-day notarial notice no right of refund if less than 2 years of payment 97. Valid transactions involving agricultural land 1. Sale to private parties, regardless of hectarages, executed before the effectivity of RA 6657 on June 15, 1988, provided the sale is registered with the Register of Deeds within 3 months from June 15, 1988; 2. Sale to private parties executed after the effectivity of RA 6657 covering areas to be retained in favor of transferees whose total landholdings, including the land to be acquired, do not exceed 5 hectares; 3. Sale in favor of the government, Land Bank, or Dept. of Agrarian Reform regardless of hectarages; 4. Sale by agrarian reform beneficiaries after 10 years from the issuance and registration of land ownership award (CLOA). 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 4. 5. Value-added tax - not subject in all cases Due date - payable within 30 days from date of notarization - generally, subject th - payable on or before the 10 day of the following month after the month of notarization

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