Stellar Estates
Richard Batiquin G/F Door 1A Marison Condominium
C. Rosal St corner Tojong St
Cebu City, CE 6000
Phone: +639178213895 Mobile: +639228752837
 

FREQUENTLY ASKED QUESTIONS by BUYERS

1.  I am a first time homebuyer and based overseas, how do I buy property in the Philippines?

 

      For non-resident Filipino citizens and foreigners, simply register your criteria here to match listings now available on the market or get notified via registered email address of newly listed properties in minutes.

 

2.  I am a natural-born Filipino but acquired a foreign citizenship.  I am still allowed to own a property in the Philippines?

 

     Natural-born Filipinos but have acquired foreign citizenships can still acquire properties in the Philippines but subject to land ownership limitations under Batas Pambansa Blg. 185 (BP 185), which was enacted in March 1982, and Republic Act 8179 (RA 8179), which amended the Foreign Investment Act of 1991.

 

3.  I am a foreigner.  Can I acquire properties in the Philippines too?

 

     Foreigners are allowed to purchase a condominium unit, provided that total foreign ownership of the condominium corporation does not exceed 40%.  They may also inherit real property from their deceased Filipino spouses or parents.
 
     Children born to a Filipino parent, whether legitimate or illegitimate, may inherit the property o the Filipino parent, even if the child is not a Filipino citizen.
 
     Filipinos who lost their Filipino citizenship will remain the owners of any property they have acquired before changing nationalities. On the other hand, a natural-born Filipino citizen who has lost his Philippine citizenship may be a transferee of private land, subject to  the following limitations and conditions provided under Section 7 & 8 of Article XII of the Philippine Constitution and under BP 185 and RA 7042 as amended by RA 8179.

 

4.  What is Batas Pambansa Blg. 185 (BP 185) all about?

 

     BP 185 stipulates the guidelines on land ownership by former Filipinos for purposes of establishment of residence.

 

5.  What is Republic Act 8179 (RA 8179) all about?

 

     RA 8179 (Section 10) specifies entitlements and conditions for land acquisition for investment purposes. The acquisition or transfer of private lands refers to either voluntary or involuntary sale, devise or donation. Involuntary sales include sales on tax delinquency, foreclosures, and execution of judgment.

 

6.  What are the provisions of BP 185 and RA 7042, as amended by RA 8179, pertinent to land ownership by former Filipinos?

 

Particulars Provision under BP 185 (Applies to acquisition of land for purposes of residence) Provisions under RA 7042 as amended BY RA 8179 (Applies to acquisition of land for purposes of business or commerce)
Size/Area Coverage • Maximum of 1000 sq. meters for urban land

• Maximum of one (1) hectare for rural land
• Maximum of 5000 sq. meters for urban land

• Maximum of three (3) hectares for rural land
Land Acquisition for Both Spouses • Either of the spouses may avail of this privilege

• In case both spouses wish to acquire lands for this purposes, the total area acquired should not exceed the maximum
• Either of the spouses may avail of this privilege

• In case both spouses wish to acquire lands for this purposes, the total area acquired should not exceed the maximum
Additional Land Acquisition In case he/she already owns urban or rural lands for residential purposes, he/she may acquire additional urban or rural lands, which when added to those he/she presently owns shall not exceed the authorized maximum area. In case he /she already owns urban or rural lands for business purposes, he/she may acquire additional urban or rural lands which when added to those he/she presently owns shall not exceed the authorized maximum area.
Limits to Acquisition of Land • A person may acquire not more than two (2) lots which should be situated in different municipalities or cities anywhere in the Philippines, provided that the total area of those lots do not exceed 1,000 sq. meters for urban land or one (1) hectare for rural land for use as residence.

• An individual who has already acquired urban land shall be disqualified from acquiring rural land and vice versa.
• A person may acquire not more than two (2) lots which should be situated in different municipalities or cities anywhere in the Philippines, provided that the total area of those lots do not exceed 5,000 sq. meters for urban land or three (3) hectares for rural land for use as residence.

• Under Section 4 of Rule XII of the Implementing Rules and Regulations of RA 704 as amended by RA 8179, a transferee who has already acquired urban land shall be disqualified from acquiring rural land and vice versa.  However, if the transferee has disposed of his rural land, he may still acquire rural land and vice versa, provided that this will be used for business.

• A transferee of residential land acquired under Batas Pambansa Blg. 185 may still avail of the privilege granted under this law.
Use of Land The acquired land should not be used for any purpose other than for his/her residence. Section 5 of Rule XII specifically states that “the land should be primarily, directly and actually used in the performance or conduct of the owner’s business or commercial activities in the broad areas of agriculture, industry and services including the lease of land but excluding the buying or selling thereof.
Special Requirements In addition to the requirements provided for in other laws for the registration of titles to lands, the transferee should submit to the Register of Deeds of the province or city where the property is located a sworn statement showing the following:

• Date and place of birth
• Names and addresses of his/her parents, his/her spouse, and children, if any;
• The area, location, and mode of acquisition of his/her landholdings in the Philippines, if any;
• His/her intention to reside permanently in the Philippines;
• Date he/she lost his/her Philippine citizenship and the country of which he/she is presently a citizen.

In addition to the usual registration requirements pertinent to the conveyance of real estate, the transfer contemplated shall not be recorded unless the transferee submits to the Registry of Deeds of the province or city where the land is situated, the following:

• Certification of business registration issued by the Bureau of Trade Regulation and Consumer Protection of the Department of Trade and Industry;
• Sworn statement same as that in BP 185;
• Certification from the assessor of the municipality or province where the property is situated that the subject land for transfer is in an urban or rural area;
• If an agricultural land is acquired, a certification from the Department of Agrarian Reform that the land is a retained area of the transferor and an affidavit of the transferee attesting that his total landholdings inclusive of the land to be acquired does not exceed the 5-hectare limit fixed by RA 6657 (the Comprehensive Agrarian Reform Act – CARP).
 

 

 

 

7.  What are the requirements for Land Registration or Original Certificate of Title (Judicial Titling)?

 

     The application for land registration should be filed in triplicate with the Clerk of the Regional Trial Court of the province/city where the property is located. The following documents should be attached to the application:
 
     Original plan on tracing cloth duly approved by the Director of Lands or Regional Land Director, or in lieu thereof, a true copy of the same on a tracing cloth properly attested and certified by said Office or official authorized to make such certification, together with two (2) print copies thereof;
 
     Technical description, three (3) copies Surveyor’s certificate, three (3) copies Certificate of the assessed value of the property issued by the provincial treasurer, in quadruplicate.

 

     For land registration assistance, please contact us.

 

8.  What are the requirements for Land Transfer or Transfer Certificate of Title?

 

    The following documents are required for the filing of land transfer:

    • Copies of the Deed of Absolute Sale
    • Latest real estate tax payments
    • Latest tax declaration of the property
    • Certificate from the Bureau of Internal Revenue that the capital gains tax and documentary stamps have been paid
    • Transfer tax
    • Receipt of payment of the transfer and registration fees

 

    For land transfer assistance, please contact us.

 

9.  I saw your listings in your website.  Can you show them to us today?

 

    All listings are shown by appointment only.  Please contact us to schedule a buyer counseling session before the given schedule of showings.

 

10. I have already chosen a preferred property.  How shall I proceed with the acquisition?

 

    Tender a Letter Offer to Purchase (pre-owned properties) or submit a Reservation Application (developer's inventories) together with the required Reservation Application (RA) supporting documents.

 

11. What are the Reservation Application (RA) supporting documents?

 

      a) Copy of two (2) valid Government-issued IDs (both spouses, if married)
      b) Copy of Passports (both spouses, if married)
      c) BIR Form 1904 or TIN Application
      d) Periodic Payment Schedule for installment applications
      e) Complete Postdated Checks (PDCs) for installment applications

 

12. What is the normal holding period upon reservation?

 

      Normal holding period is 15-30 days counted after the reservation date.  On-hold properties will not be placed in the market until the expiry of the agreed holding period.

 

13. What are the modes of payment?

 

      Cash or over-the-counter payment is the most preferred.  However, there are property sellers who accept [1] checks, [2] credit cards and [3] telegraphic transfer payments.  Property buyers are advised to put in writing the mode of payment (as well as schedule of payment) in the sales/purchase agreement to avoid disputes or contingencies.