Does my developer need a license to sell before selling me a lot or condo?
Last updated: 2026-07-11 ยท Educational content; not legal advice.
Short answer
Yes. Under Section 5 of PD 957, an owner or developer cannot sell any subdivision lot or condominium unit in a registered project unless it has first obtained a License to Sell from the regulator (now DHSUD, successor to the HLURB). Selling without a valid License to Sell is a violation of PD 957. Before you pay, ask for the project's Certificate of Registration and License to Sell and verify them with DHSUD โ this is one of the strongest early signals of whether a developer is legitimate.
Primary sources
Frequently asked
What is a License to Sell?
It is the authority the regulator issues to a registered project allowing the developer to sell its lots or units to the public. PD 957 ยง5 says a developer 'shall not... be authorized to sell any subdivision lot or condominium unit... unless he shall have first obtained a license to sell.'
How do I check if a project has one?
Ask the developer for the Certificate of Registration and License to Sell, then verify with DHSUD, which maintains records of licensed projects and can confirm whether the license is genuine and current.
What if they sold to me without a license?
Selling without a License to Sell is a PD 957 violation. You can raise it with DHSUD (regulatory action against the developer) and pursue your buyer remedies โ such as a refund โ through the HSAC.
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Your rights as a home buyer or renter โ the Maceda Law (RA 6552) refund and cash-surrender-value rules when you stop paying a house or condo on installment, the grace period before a developer can cancel, PD 957 remedies when a developer won't deliver your unit, title, or promised amenities, how to file against a developer at DHSUD / the HSAC, and the Rent Control Act (RA 9653) limits on deposits, rent increases, and eviction.