Procedure for the Registration of Real Estate Mortgages.

1. Execute the document of mortgage.

2. There must be two witnesses present.

An affidavit of good faith is also necessary, which shall state that

“We (the parties) severally swear that the foregoing mortgage is made for the purpose of securing the obligation specified in the conditions thereof, and for no other purpose, and that the same is a just and valid obligation, and one not entered into for the purpose of fraud.” (Sec. 5)

3. Go to a notary public, who will notarize the document.

4. Pay the documentary stamp tax within the first five days of the succeeding month. The documentary stamp tax is a percentage of the value of the property mortgaged.

5. Go to the Office of the Register of Deeds (of the place where the property is located) and pay the registration fees. Before you pay the registration fees, the government will require you to update payment of realty taxes on the property. The Registration process in turn is as follows:

a. Present deed of mortgage together with

b. Owner’s Duplicate and affidavit of good faith

c. Payment of fees

6. After payment of the registration fees, the mortgage will be annotated on the title.This shall be done as follows:a. ROD shall enter upon original certificate of title and upon duplicate a memorandum (date, time of filing, signature, file number assigned to deed)

b. ROD to note on the deed the date and time of filing, and reference to volume and page of the registration book in which it was registered.

Procedure for the Registration of CHATTEL MORTGAGE 1. Execution of document of mortgage (This must conform to the form specifically provided in Section 5 of Act No. 1508).2. Present the document together with affidavit of good faith3. Payment of fees

4. Register of Deeds enters in the Day Book in strict order of their presentation chattel mortgages and other instruments relating thereto (known as the ‘primary process’)

5. ROD thereafter enters in a more detailed form the essential content of the instrument in the Chattel Mortgage Register (known as the ‘complimentary process’)

Some special rules on where a Chattel Mortgage should be registered.

General Rule is: Registration shall be done in the Register of Deeds where the mortgagor resides

If, however, the property is situated somewhere else, it needs to be registered also in the Register of Deeds of the area where the property is located.

Exceptions:

Motor vehicles: shall be registered in the Land Transportation Office (LTO) where vehicle is registered

Shares of stock: Register of Deeds where the corporation has its principal office.

Vessels: Register at the Philippine Coastguard.