Buying a Property? Check DHSUD License to Sell of the Developer

Buying property involves more than finding the right location and agreeing on a price.

For buyers considering a subdivision, condominium or other regulated real-estate development in Palawan, one of the documents worth checking before making a reservation or payment is the project’s License to Sell.

The Department of Human Settlements and Urban Development issued a public reminder on September 8, 2026 encouraging prospective buyers to verify this authorization before proceeding with a purchase.

What is a License to Sell?

According to DHSUD, a License to Sell is an official document showing that a development has satisfied minimum regulatory requirements before the project may legally be offered to buyers.

The document contains information such as the project’s name and location, its developer or owner, the type of development and its scheduled completion date.

DHSUD said a valid license signifies compliance with relevant regulations under Presidential Decree 957 and Batas Pambansa Blg. 220, depending on the development.

It isn’t limited to condominiums

Some buyers may associate a License to Sell primarily with large subdivisions or condominium developments.

DHSUD’s reminder makes clear that the scope is wider.

Covered developments include subdivision lots, house-and-lot projects, farm-lot subdivisions, commercial and industrial subdivisions, condominiums, socialized housing developments, townhouses, memorial parks and columbariums.

That distinction can become particularly important when property is being marketed as multiple individual lots forming part of a development.

Buyers can verify instead of simply taking the seller’s word

Prospective buyers have the right to request the project’s License to Sell number or ask for a copy.

DHSUD also maintains an official License to Sell Directory that allows the public to check project information.

Verification should preferably happen before a reservation fee, down payment or other substantial payment changes hands.

A License to Sell is not the entire due-diligence process

This point is important.

Confirming a License to Sell does not mean that every other question about a property has automatically been answered.

Depending on the type of transaction, proper due diligence can involve examining matters such as:

• the Transfer Certificate of Title or Original Certificate of Title;
• the registered owner’s identity;
• mortgages, liens or other annotations;
• tax declarations and real-property tax status;
• surveys and property boundaries;
• legal access to the property;
• zoning and permitted land use;
• environmental or protected-area restrictions;
• easements and hazard exposure; and
• the legal authority of the broker, salesperson or representative handling the transaction.

A License to Sell addresses an important regulatory issue, but it does not replace those checks.

Palawan context: location makes verification more important, not less

Palawan offers many different types of property—from urban residential developments in Puerto Princesa to tourism-oriented properties and larger landholdings elsewhere in the province.

Those differences make it especially important to understand what kind of property is actually being offered and which rules apply to it.

An attractive location, road frontage, sea view or anticipated development nearby may affect a buyer’s interest, but none of those characteristics substitute for legal and regulatory verification.