Property in Limbo

Once upon a time, a Filipina and her foreign boyfriend bought a condo unit, each contributing half the purchase price. The title of the property was named after both of them as individuals.

After a few years, the relationship ended. It was a bad break up with the boyfriend leaving the country, vowing never to speak to the Filipina again.

A few years passed, and the Filipina decided to sell the condo. However, her broker advised her that the sale would require her ex-boyfriend's signature as co-owner of the property.

The Filipina tried reaching out to her ex-boyfriend through her lawyer. After some discussions, the lawyer told the Filipina that her ex didn't want anything to do with the condo, especially since he did not want to declare he owned a property in the Philippines because it had tax implications in the country he was from.

And thus, while the girlfriend has possession of the unit, it will remain in limbo–forever...unless they forge the ex's signature/falsify a special power of attorney.

Lessons:

1) The sale of RE properties requires the consent/signature of ALL co-owners. Typically, this is a problem for inherited properties. I've seen properties co-owned by over 70 heirs (children, grandchildren, great-grandchildren). If one member refused to sign the Deed of Absolute Sale, the family wouldn't be able to sell the property.

This is also why people lodge properties in corporations for estate planning.

2) Take extra measures when signatories aren't present on the closing date. Make sure documents aren’t falsified.