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The Owner Financing Mortgage Contract is a specialized legal instrument used in the Philippines when property sellers choose to provide direct financing to buyers rather than requiring them to secure traditional bank financing. This arrangement is particularly useful in situations where buyers may not qualify for conventional bank mortgages or when sellers wish to generate ongoing income through interest payments. The document must comply with various Philippine regulations, including the Civil Code, Maceda Law, and Property Registration Decree, while protecting both parties' interests. It includes detailed terms about the property transfer, payment schedules, interest rates, security arrangements, default provisions, and eventual title transfer conditions. This type of contract is commonly used in both residential and commercial property transactions and requires careful structuring to ensure enforceability under Philippine law.

1. Parties: Identification of the Property Owner/Seller (Mortgagee) and Buyer (Mortgagor) with complete details including marital status as required under Philippine law

2. Background: Context of the transaction, including brief property description and parties' intention to enter into an owner financing arrangement

3. Definitions: Key terms used throughout the agreement including Property, Purchase Price, Interest Rate, Payment Terms, etc.

4. Property Description: Detailed legal description of the property as registered with the Register of Deeds, including lot number, survey number, and technical description

5. Purchase Price and Payment Terms: Total purchase price, down payment amount, balance to be financed, interest rate, and payment schedule

6. Security Provisions: Creation of the mortgage, its registration requirements, and the rights it confers to the mortgagee

7. Buyer's Obligations: Responsibilities including property maintenance, insurance, tax payments, and compliance with local regulations

8. Seller's Representations and Warranties: Guarantees regarding property ownership, absence of liens, and authority to sell

9. Default and Remedies: Events of default, cure periods (as per Maceda Law), and available remedies

10. Transfer of Title: Conditions and process for the eventual transfer of property title upon full payment

11. Governing Law and Jurisdiction: Specification of Philippine law as governing law and designation of competent courts

12. Execution: Signature blocks with requirements for notarization under Philippine law