Acquiring a House in the Philippines as a Foreigner
Introduction:
Foreigners who wish to buy a house in the Philippines have certain restrictions to consider. While foreign ownership of land is generally prohibited, there are legal ways for foreigners to acquire residential properties. In this article, we will discuss how a foreigner can buy a house in the Philippines while adhering to the applicable laws and regulations.
1. Condominium Ownership:
Foreigners are allowed to purchase and own condominium units in the Philippines without any restrictions on foreign ownership. If you are looking to buy a house-like property, consider exploring condominium developments that offer townhouse-style units or units with larger living spaces.
2. Long-Term Lease:
Foreigners can enter into long-term lease agreements with Filipino landowners for residential properties. The lease period can be up to 50 years, renewable for another 25 years. While the land itself is not owned by the foreigner, they have exclusive rights to use and enjoy the property during the lease period.
3. Acquisition through Filipino Spouse or Relative:
Foreigners married to Filipino citizens can acquire residential properties in the Philippines in the name of their Filipino spouse. The property can be registered under the Filipino spouse's name, allowing the foreigner to indirectly own the house. It is important to ensure that the transaction is genuine and not done solely for the purpose of circumventing ownership restrictions.
4. Establishing a Corporation:
Foreigners can establish a corporation in the Philippines with at least 60% Filipino ownership. This corporation can then purchase and own residential properties in its name. Compliance with the requirements set by the Philippine Securities and Exchange Commission (SEC) and other relevant government agencies is essential when setting up the corporation.
5. Inheritance:
Foreigners can inherit residential properties in the Philippines if they are legal heirs of Filipino citizens. Through the legal process of inheritance, the property may be transferred to the foreigner's name.
6. Legal Assistance and Due Diligence:
Acquiring a house in the Philippines as a foreigner involves legal complexities and compliance with various regulations. It is advisable to seek professional legal assistance from a reputable law firm like Respicio & Co. Law Firm. Experienced lawyers can guide you through the process, conduct due diligence on the property, ensure compliance with applicable laws, and assist in drafting and reviewing necessary contracts and agreements.
Conclusion:
While direct ownership of land by foreigners is restricted, there are legal avenues for foreigners to acquire houses in the Philippines. Condominium ownership, long-term leases, acquisition through Filipino spouses or relatives, establishing a corporation, and inheritance are among the viable options. Consult with legal experts at Respicio & Co. Law Firm to navigate the legal requirements, ensure compliance, and facilitate a successful house acquisition. Contact us today for a free consultation and let us assist you in buying a house in the Philippines.