Real Estate in the Philippines

 

 

Real estate in the Philippines has developed significantly over the years. Modernization, technological advancements and developments have made a lot of properties valuable. The country's tropical climate and the wide array of beaches and resorts have attracted a lot of foreigners as well. Unfortunately, foreigners are not allowed to purchase land in the Philippines. They can buy houses and buildings but not the land on which those above are built. The land can only be leased on a long-term contract for up to 50 years and renewable for another 25 years. Only Filipino citizens and corporations who are at least 60% owned by Filipinos can acquire land in the Philippines. A few exceptions include Acquisition before the 1935 constitution took effect, acquisition through hereditary succession wherein the foreigner is a legal heir, purchase not exceeding 40% interest in a condominium project or corporation, purchase by a natural-born Filipino with limitations specified by law, purchase by a Filipino who married a foreigner but retained his/her Filipino citizenship, and purchase by a dual citizen (one of which is a Filipino citizenship). 

 

The most common way for a foreigner to acquire a real estate property in the Philippines is to marry a Filipino. The foreigner may purchase the property, but the title can only be named to the Filipino spouse. Another way is to form a Philippine corporation, which is at least 60% owned by Filipinos and 40% owned by the foreigner.