Short answer. The seller, by default. Article 1487 says the expenses for executing and registering the sale are borne by the vendor, unless the contract stipulates otherwise. So absent an agreement shifting them, the seller shoulders the cost of formalizing and registering the deed of sale.
What the law says
The expenses for the execution and registration of the sale shall be borne by the vendor, unless there is a stipulation to the contrary.
Civil Code, Article 1487 — Expenses of Execution and Registration. Read the full provision →
The default rule places the cost on the seller
Completing a sale usually involves expenses beyond the price, such as formalising the deed and registering the transfer. Article 1487 assigns these by default, providing that the expenses for the execution and registration of the sale shall be borne by the vendor, unless there is a stipulation to the contrary. So unless the parties agree otherwise, it is the seller, not the buyer, who pays to have the sale properly executed and registered. This is the starting point whenever the contract itself is silent on who shoulders these costs.
What the expenses cover
The provision speaks of the expenses for the execution and the registration of the sale. Execution refers to formally putting the sale into the proper form, and registration refers to recording the transfer so that it is effective against third persons and reflected in the public records. These are the costs of turning an agreement into a documented, registered transfer of the property. By default the vendor bears them, which reflects the seller's obligation not merely to agree to sell but to deliver a clean, transferable title to the buyer.
The parties may agree otherwise
The rule is a default, not a command. The article expressly yields to a stipulation to the contrary, so the buyer and seller are free to allocate these expenses however they wish in their contract. In practice, parties often negotiate who pays which costs, and it is common for agreements to shift some or all of the execution and registration expenses to the buyer. Whatever they agree controls; Article 1487 simply supplies the answer for the situation the contract fails to address.
Practical takeaway
For anyone entering a sale, the sensible step is to spell out in the contract who pays the execution and registration expenses, rather than leaving it to the default. If the contract is silent, the law puts these costs on the seller. A buyer who assumes the seller will pay, or a seller who assumes the buyer will, can be surprised at closing. Reading Article 1487 together with the contract makes clear where the burden falls: on the vendor by default, or on whichever party the stipulation names.
Cases citing this provision
These Supreme Court decisions cite the provision above. We list them so you can read them yourself; the summaries of what each decided are not ours to give.
- Marites Domato-Togonon vs. The Commission on Audit, The Regional Director for Legal and Adjudication, G.R. No. 224516, July 6, 2021 — read the decision on LawPhil →
- Vive Eagle Land, Inc., et al. vs. Court of Appeals, et al, G.R. No. 150308, November 26, 2004 — read the decision on LawPhil →