Filipinos, foreigners, and real estate in the Philippines
These are the basic rules on land ownership:
A Filipino citizen can own land in the Philippines.
A foreigner cannot own land unless he is a former Filipino citizen or he happened to inherit that land.
For a corporation to own land, at least 60% of that corporation’s capital must be owned by Filipino citizens.
Former Filipino citizens
SECTION 8. Notwithstanding the provisions of Section 7 of this Article, a natural-born citizen of the Philippines who has lost his Philippine citizenship may be a transferee of private lands, subject to limitations provided by law.
The limitations provided by law are fairly generous:
If the land is for residential use in urban areas, formerly natural born citizens can still own up to 1,000 square meters of land. This goes up to one hectare if the land is rural (Batas Pambansa Blg. 185).
If the land is for commercial use, formerly natural born citizens can own up to 5,000 square meters of urban land. This goes up to 3 hectares if the land is rural (Republic Act No. 8179).
What if a foreigner acquires land in violation of the Constitution?
The Supreme Court has explained that since the ban on foreigners is intended to preserve the nation’s land for future generations of Filipinos, that aim is achieved by making lawful the acquisition of real estate by aliens who became Filipino citizens by naturalization or those transfers made by aliens to Filipino citizens. As the property in dispute is already in the hands of a qualified person, a Filipino citizen, there would be no more public policy to be protected. The objective of the constitutional provision to keep Philippine lands in Filipino hands has been achieved.[1]
What about foreigners and condominiums?
What is a condominium unit?
“Unit” means a part of the condominium project intended for any type of independent use or ownership, including one or more rooms or spaces located in one or more floors (or part or parts of floors) in a building or buildings and such accessories as may be appended thereto.[2]
However, there is a restriction on the share of the condominium corporation[3] which foreigners can own (only up to 40%) if the condominium corp. itself owns the land on which the building is built,[4] but the developers have usually taken this restriction into account in their apportioning of the property.[5]
These calculations have to be made because the law provides that no condominium unit can be sold without at the same time selling the corresponding amount of rights, shares or other interests in the condominium management body, the Condominium Corporation; and no one can buy shares in a Condominium Corporation without at the same time buying a condominium unit. The law expressly allows foreigners to acquire condominium units and shares in condominium corporations up to not more than 40% of the total and outstanding capital stock of a Filipino-owned or controlled corporation. Under this set up, the ownership of the land is legally separated from the unit itself. The land is owned by a Condominium Corporation and the unit owner is simply a member in this Condominium Corporation. As long as 60% of the members of this Condominium Corporation are Filipino, the remaining members can be foreigners.[6]
References:
[1] Borromeo vs. Descallar, G.R. No. 159310, February 24, 2009
[2] Section 3(b), Republic Act No. 4726, The Condominium Act
[3] To enable the orderly administration over these common areas which are jointly owned by the various unit owners, the Condominium Act permits the creation of a condominium corporation, which is specially formed for the purpose of holding title to the common area, in which the holders of separate interests shall automatically be members or shareholders, to the exclusion of others, in proportion to the appurtenant interest of their respective units. City Treasurer of Makati City vs. BA Lepanto Condominium Corporation, G.R. No. 154993, October 25, 2005
[4] See Securities and Exchange Commission -Â Office of the General Counsel Opinion No. 08-27, November 27, 2008
[5] Where the common areas in a condominium project are held by a corporation, no transfer or conveyance of a unit shall be valid if the concomitant transfer of the appurtenant membership or stockholding in the corporation will cause the alien interest in such corporation to exceed the limits imposed by existing laws. (Section 5 of R.A. 4726, The Condominium Act)
[6] Hulst vs. PR Builders, Inc., G.R. No. 156364, September 25, 2008
I am Australian and married to a Filipina and we just brought a block of land and I will build the house. What happens if my wife dies. Do I then own both the house and land.
This partly depends on whether she has other close living relatives such as siblings, parents, and children, who may possibly be co-heirs.
ARE PHILIPPINO PRIESTS ABLE TO LEGALLY OWN LAND AND IF SO STATE WHAT LAW IS STATED TO THAT EFFECT ,,,REPLY TO Lcopperopolis@hotmail.com
Yes. Filipino priests are no different from other Filipino citizens in this respect.
Section 1, Article III of the 1987 Constitution.
https://www.officialgazette.gov.ph/constitutions/1987-constitution/
My husband and I were born in the Philippines and became naturalized American citizens in 1982. We would like to do a Deed of Donation on all our properties in the Philippines to our sons, one is a natural-born Filipino and eventually became a naturalized US citizen and 2 were born in the US and are US citizens. My question is, are we able to execute the Deed of Donation of the properties to them regardless of their citizenship? The properties 3 rentals homes, 2 parcels of land less than 1 hectare each. Please advise. Thank you
If they were never Filipino citizens because you were already Americans when they were born then you they cannot be donees of the properties, but they can inherit it. The properties can be donated to them if they were Filipino citizens by birth.
Hello, can I former Filipino citizen acquire property through donation?
My father would like to transfer his land to me and my brother. I understand that there are restrictions for me as regards land ownership since I’m now a naturalized US citizen. Is donation available option for me to have this land transferred to my name while my father is still alive? Or is it only through deed of sale? I appreciate your reply
Either is possible for a former Filipino citizen.
Good day. My husband and I are both Filipinos by birth and has a property in the Philippines prior to becoming citizens in Canada. We are now planning to sell our property in the Philippines and will be executing SPA (Special Power of Attorney) for my sister to act on our behalf.
We were provided with the SPA template by the real estate broker that states we are Filipinos – is this okay even though we are just about to process our Dual Citizenship?
We plan to have both the SPA and DAS already signed (by the SPA and buyers), courier it to us so we can sign and bring them over to the Philippine Consulate office here (outside of the city where we live) for notarization and applying for the dual citizenship at the same time.
Thank you in advance for your help.
It isn’t a good idea to misstate the facts on a sworn document. You may rather consider stating on the documents that you were born Filipino citizens.
Hi,
I am an Canadian citizen a long time ago (former Filipino). My father (deceased now) subdivided a land in our province with approximately 15,000sqm and have it titled with my other 5 siblings excluding me.
Do I have the right to own a portion of the said land? If there is, what will be my remedy so I could have my corresponding share of the land to have it titled under my name?
Thanks
This would require a court case.
I am a natural born former Filipino citizen who has acquired a foreign citizenship. There are a few of us children that will inherit my parents properties so my fillipino father has drawn a will so that he can assign certain lands to his choice of children via his will. He says it will not be equally divided among us and we wants his favorite to get the biggest. My question is, can we former natural born Filipinos be able to be subject to the drawn will of our Filipino father?
Yes. The will, however, must comply with the minimum shares allotted by law to each child.
Hi, our client is born in Australia and now holding a US citizenship. Is he allowed to buy house and lot ? He’s born in both Filipino parents. Hope to hear from you! Thanks!
We’d need to know more about the facts, but former Filipinos are allowed to purchase a property in the Philippines.
Hi,
I have land properties in the Philippines (acquired while still being a Filipino Citizen). What will happen to my land properties if I become a non-Filipino citizen?
Former Filipino citizenships also have the right to own and purchase land in the Philippine.
Hi, my brother who is now a US citizen is planning to sell his property in the philippines. Is there any requirements from a US citizen in order to carry out the deed of sale?
A former Filipino citizen should be able to carry out these transactions.
I inherited parcels of land as a natural born Filipino and titled to my name and I became a naturalized citizen in a country that do not have dual citizenship. How do I sell my properties?
You can own Philippine land as a former Filipino citizen, but you can choose to engage a broker or the like if you nevertheless want to sell you Philippine real estate.
Hello! We are foreign national now but naturalized born Filipino. We are buying a house and lot in a Subdivision, 240 square meters in size and we would like to name it to our only child , our son who is now an adult. He was born outside Philippines with foreign nationality. Is it possible to name the Deed Of Sale directly to our son’s name?
Hoping for your kind reply. Thank you.
Best regards.
He is a foreigner and cannot buy land in the Philippines unless he assumes Philippine citizenship.
Hello! I have a project and its about legoland and if they should enter the philippines. Im making a PEST analysis. Im trying to check how much land can a foreigner own since legoland is usually up to 35 acres.
A foreigner cannot buy land in the Philippines.
This is an absolute prohibition.
hi. My cousin and his brother share a property under both their names. The brother has become a naturalized citizen of another country, but he is said to be “hiding” due to some personal issues or mental issues and we cannot contact him. One relative of ours has spotted him alive, so we don’t know how to deal with this as my cousin wants to sell the property. We don’t know if he can sell it without his brother’s signature/permission. We are tempted to just report him to the police as “missing” so that my cousin can sell the property and get on with his life. The last time we spoke to this “missing” person, he was hesitant to sell the property because he said there were lots of memories in it. How do we deal with this issue?
Sent an email.
I bought a land and house with my sister 10 years ago. The title is under my name and my sister’s. I went abroad and acquired my husband’s citizenship (which doesn’t allow dual citizenship) a few years after, so I renounced (by act) my Filipino citizenship. I’m also living permanently abroad. Am I still the legal owner of the house, given that foreigners like me are only allowed to own with certain restrictions? (and also because of my way of losing citizenship is by renounciation)
Yes, generally so, and subject to the restrictions above mentioned.
Hello. I would like to inquire about my parent who is married to a foreigner planning to buy a land but wants it to be named after her. Is that possible? If not, what should ahe do then?
Hi Jenny:
Do you mean to say that the foreigner wants to own the land?
He cannot own the land as this is restricted by the government.
Hi. I am a filipino citizen.We are going to buy 20 hectares of land. However the owner only have rights for the land. Is it ok to buy? I have read that each filipino could only own 3 hectares of land. Does it apply to residential as well? Thank you.
Dear Andy:
Before you purchase, it is wise to check who the registered owner is at the Registry of Deeds.
Regarding the amount of land that you can buy, there are some restrictions around agricultural or different types of land.
Hello greetings from Sydney, Australia.
My Filipino Citizen Father inherited approx. 2.2 hectares ( his share of the inheritance ) in the province from his parents. His siblings are now in the process of having the land surveyed and divided among each of them with INDIVIDUAL TITLE.
My father plans to have his land title named under names of his grandchildren WHO ARE FOREIGN NATIONALS ( I am now an Australian Citizen and my sister is Canadian Citizen ).
We thought it’ll be a short cut process doing so instead of naming on the Title me and my sister ( who are also not Filipino citizens )
What would be the best way? Dual Citizenship for the grandchildren FIRST?
Yes, a dual citizen can hold Philippine land.
As foreign nationals, his children or grandchildren would not be able to have the land titled in their names.
I am a former Filipino citizen with former Filipino born children now citizens of a foreign country. My dad died years ago.
My mother owns properties with titles under her name in the Philippines who is living in PI. As per your advice regarding titling of land to foreign nationals “…his children or grandchildren would not be able to have the land titled in their names”. Does this mean that those who were not able to acquire/buy lands prior to giving up Filipino citizenships cannot transfer lands from inheritance under their names? What happens if my mother dies intestate? What happens to her children and grandchildren who have given up their Filo citizenship. My mother has grandchildren who were not born in the Philippines, how does this work if any of my siblings passed away?
However, please justify if this commentary I found on line is in accordance with what you have advised to the previous query. Is an inherited land transferable in the name of a former Filipino born citizen as follows:
“Natural-born Filipino citizens who have lost their Philippine citizenship, subject to certain limitations;
Non-Filipino citizens, who can inherit land by hereditary or intestate succession (without a will) but not by testamentary succession (with a will).”
Thank you in advance.
This is probably too involved to be addressed anonymously online.
I resently purchased a townhouse in the Phils and was verbally given 3 months warranty by the sellers. After I made my payment snd signed the deed of sale I realized the townhouse did not have insulation snd no ventilation, and found out from my hired workers that the outside wall was not waterproofed. And now the gate is needing repair from having it installed poorly. I have repeatedly emailed the sellers to finish waterproofing the wall and repair or replace the gate but have received no response. How can I have them finish all unfinished jobs? It has been a month since the purchase and my family has not been able to move in due to these unfinished jobs.
Try sending them a formal letter detailing your complaint and situation.
I had a question but after spending some time reading other questions and responses I found the answer to my own question. I would like to commend this site for your professional and timely answers to questions. It is refreshing to find such a site. Please continue your good service to those who are seeking advice.
Thank you. We sincerely appreciate this comment.
Hi,
I am a Filipino working in Qatar. If I want to buy an existing property like a Hotel & Resort or Condominium building and continue its operations, do i need to have a real estate broker or license in order to transfer it to my name?
Thank you
Are you buying the business or just the property?
If you are buying the business, then there are several things that must be attended to.
If you are buying the property, then you will need a lawyer and a broker to advise you.
hi i would like to ask some questions. we will be planning to buy a house and lot in camella. in the titles it was state there that the owner is filipina married to name of indian citizen. my questions is do we need the signature of the indian husband? or is it ok the filipina sell their house and lot?
It is certainly prudent to get the husband’s signature.
Hi, I understand “It is certainly prudent to get the husband’s signature.”
What if the wife falsified the signature of the husband, the wife has a history and is surely very good at copying signatures.
Thank you, your Honor.
That would require that the notarization was likewise falsified which would make it a very serious matter where the notary would also be subject legal consequences.
Hi Attorney,
Can a former Filipino buy a house and lot in the Philippines or he is just limited to a piece of land?
Thanks
Hi Ric:
A former Filipino can buy a house and lot subject to the restrictions on lot size as listed above.
Yes, a former Filipino certainly can buy a house and lot in the Philippines.
Hi, can a foreigner’s child born in the Philippines purchase a lot?
A foreign child who was born and grew up in the Philippines can become a Filipino citizen.
My grandchildren are now living in the Philippines with their Filipina mother, they are 5 and 2. They only have Australian passports as far as I know. This seems to be a situation where the rules seem onerous. Where they live there are no Condos. Are the children able to “buy” land as any property would be ultimately for them.
Hi Mark:
Due to the constitutional requirements in place, the children are not able to buy land.
The only way for them even to hold Philippine land is through intestate inheritance through the mother.
Greetings from Canada,
My dad has not been to the Philippines in over 26 years, but reacquired his filipino citizenship in 2014. His mother owned a piece of land and passed away during his absence. He is the only child of his parents but has no documents of a title or a will, only a birth certificate indicating that he is their child. Would he still have the right to the land despite being away for so long? And if so, what steps could he take into claiming it?
Hi, what if a condomiunium unit reached 60-40.. and still a foreigner now (natural born filipino citizen before) wants to buy a unit, is he/she entitled to buy one??
The ratio is fixed by law and condominium corporation are subject to government oversight on this and other matters.
Hi! My tita bought a House and Lot in Camella as a Filipino Citizen year 2013. Now she’s an australian citizen and she now has a buyer for the house. She will come back on sept 10 this year to close the deal. She doesn’t have valid ids in the philippines anymore, no more tin number and it would be hard for her to get a cedula. Plus on the title it stated she was still Filipino. Can her ids in australia suffice?
What shall we do about it?
Yes, the Australian IDs should suffice. Consider speaking to the local barangay about the cedula. She can obtain a TIN from the BIR’s Revenue District Office in Quezon City.
I am a US citizen and bought a piece of land in the Philippines. The land is still under my brother’s name. Please, tell me the required documents in applying for a Transfer of Certificate Title so it can be transfer in my name before building a house. Is it possible to let my brother do this process with a copy of power of attorney coming from me?
Thanks for spending time answering this questions.
Sent you an email.
Hi i own a house and lot in the phils prior to acquiring my citizenship. Someone had it titled and i already filed a case. Can it be used against me being a us citizen now? I gave my son an SPA to represent me. Another question my siblings and i inherited 9 hectares of land from my late father, am i still entitled to inherit it even if i am a us citizen now. Thank you
Hi. Former Filipino citizens can own land in the Philippines as an exception to the general prohibition against foreign ownership.
Hello good day im citizin of the republic of the philippines. Legal age. I just want to know if my kuwaiti partner can buy a agricultural land/farm in the philippines we are both man but we have plan to buy and own a land in our country… now my question how we process the agricultural land if my partner is foreigner… thank you
He cannot buy land in the Philippines if he is not and never has been a Filipino.
Hi! I wanted to know if a foreign-owned corporation wants to purchase a building? will the 60% filipino rule apply?
I married my wife in May 2006. We bought land in mountains of central Mindanao in her village. Some in her maiden name and others in her married name. My question is this, can her mom, who is now upset with her, take her land since she became a US citizen? We have people, her relatives staying there to watch everything. Mom is upset and thinks we have abandoned her and wants to sue my wife. We don’t give her money any more because she just wants more and nothing is ever enough. She wants everyone to leave our house and give her the keys. I think she is doing that to make it look like we abandoned it. Does her mom have any right to the land? Also, we have over 4.7 hectares of farming land and hills. We bought 4 lots adjoining each other and want to buy more. Can we, if we have a business there, own more?
Will send you an email.
Hello,
I am a former Filipino and became a Canadian Citizen last 2010. I already built a house in the Philippines from scrtach but the owner of the lot is my Uncle as he wanted to sell it to me for 50,000 pesos. The size of the lot is 130 Sqmeter and the size of the house I built was 100 Sqmeter. It’s been agrred between me and my uncle that I owned the house. Can I transfer the declaration name to my name? Is it possible to own the land and house under my name? Like i said the lot size is 130sqm. I am planning of going home in 2 months so I can get this declaration transfer to my name. Can I do this or not. Please advise.
Thanks,
Emmanuel
Hi Emmanuel. Yes, there will be no citizenship issue because you can own up to 1,000 square meters of land as a former Filipino citizen.
Hi, i have a foreign friend who got married to a filipino a year ago. He is retiring from work soon and planning to settle in the phils. Can he buy properties like land somewhere in Cebu in his name? Thanks for your response. Have a good one!
Hi. Only Filipinos or former Filipino citizens can buy land in the Philippines. He can legally buy condominium units or buildings under certain conditions, but the land they are on cannot be foreign owned.
Hi,
My wife and I were born in the Philippines but we’re now holding foreign passports. We have a child who was born outside the Philippines. We have not applied for dual-citizenship.
We have a small piece of land in our homeland. My questions is, can our child inherit this property one day without becoming a dual-citizen?
Thanks very much. Have a great day!
It will depend on the mode of inheritance. If his inheritance is intestate, i.e. without a will, then yes he can. If his inheritance of the property is through a will, then he has to be a Filipino citizen.
Hi my mom passaway june14,2018, and im the only child of my mother, and she leave me without the will.
I’m sorry for your loss.
More information is needed in order to comment on this.
I sent you an email.
I am a foreigner but my three minor children(under the age of ten) have dual citizenship, can I form a corporation to purchase property, with them as the 60% Filipino shareholders and myself with 40%? Can minors hold shares in a Filipino corporation?
Will send you an email.