GALA NIGHT - DECEMBER 1, 2004

Owning Properties in the Philippines

Former Filipino citizens who wish to acquire properties in the Philippines are allowed by law to purchase a maximum of 5,000 square meters of urban lands and or three hectares of agricultural land. The right is covered under Sec. 5 of the Amendatory Act R.A. 8179 which increased the allowable acquisition imposed by Batas Pambansa 185 from 1,000 square meters for urban lands and one hectare for agricultural lands. The main requirement for the purchase is that Buyer executes an Affidavit stating his intent to reside permanently in the Philippines. The foreigner spouse of the former Filipino buyer shall also be asked to execute an Affidavit of Conformity ratifying and confirming the exclusive ownership of his / her spouse. In his absence, the buyer may appoint a third party to represent him in the documentary requirements by executing a Special Power of Attorney.

Those born of Filipino parents in foreign lands may, likewise, acquire properties in the Philippines provided that they apply for dual citizenship or re-acquisition of citizenship with the Bureau of Immigration of the Department of Justice. Once his dual citizenship is acquired, he is granted all rights of a Filipino citizen, including that of land / property ownership.

Philippine laws maintain that a foreigner cannot individually acquire land except through a corporation of which he is a stockholder of up to 40%. He is, however, allowed to acquire ownership of condominium units.