When selling a real estate property, brokers and salespersons will ask for a signed authority to sell from the owner-sellers, and usual the owners would decline and ask brokers to look for a sure buyer first before they will even give an authority to sell and negotiate. But that’s not the correct way or process of selling real estate, not only in the Philippines but even Internationally. All brokerage transactions should start with the signing of Authority to Sell or negotiate.

THE PRBRES Mandate:

My previous teacher in BS REM once corrected us that the correct term should be Authority to Negotiate and not Authority to Sell. Although the context seems to be the same but in legal terms, there’s a difference. Anyway, ATS (or ATN) as what we brokers know gave us the legal authority that we are authorized by the owner of the property to sell, market, advertise, negotiate the sell of their property. It is a legal binding document between the seller and the broker.

What are the usual details written in the ATS/ATN?

1. The name and technical description of the property. That includes the exact address of the property, title number, taxdec number.
2. The size of the property for sale, which includes the lot area, floor area of the building and specifications of the building if there’s any.
3. It also includes the agreement about who pays the Deed of Sale Notarization, Capital Gains Tax, Documentary Stamp Tax, Transfer Taxes and miscellaneous expenses for the transfer.
4. The GROSS and or NET Price of the property that is for sale.
5. Agree percentage of price adjustment to include the taxes due.
6. The rate of the professional fee of the Broker (Broker Group).
7. The limiting conditions of the agreement between the seller and the broker.
8. The responsibilities and obligations of the Seller and Buyer to complete the transaction.
9. The Hold over clause of the agreement
10. The name and address of the owner of the property that should be the same as the name on the documents of the property
11. The name and address of the broker with the assisting salesperson if there’s any and their License numbers.

Attachments needed for ATS:

1. Valid Government issued ID Of the seller and Broker
2. Certified True copy of the title of the property
3. Certified True Copy of the Tax Declaration
4. Certified True Copy of the Tax Clearance if needed
5. Vicinity Map/Location Map
6. Unit Layout or Building plan if with Building
7. Site Map

Other documents may be requested for proof of ownership of the property to be sold depending on the situation.

In the Philippines, getting a signed authority to sell when selling a property is super important. This paper gives the real estate agent or person selling the property the legal power to act on behalf of the owner. It’s like giving someone permission to sell your stuff. This document proves that the agent isn’t just making things up—they really have the go-ahead from the owner to sell the property. Without this signed paper, it can cause a lot of confusion and legal problems. It’s a way to make sure everything is clear and everyone knows who’s in charge of selling the property.

Are you selling your property? Contact me