Best Posts in Thread: Local land prices, are they crazy?

My wife and I have been purchasing property for about four years now. We also looked at property for several years off and on before buying our first lot, an overlooking lot in Valencia. We have also made four separate purchases in Siquijor of raw land.
We have attempted to purchase at least 6 other properties that there was a scam to cheat us. The first was an 80 yo lady with a lot in Valencia which we paid 10k pesos to survey. We then went to the lawyers office, an older gentleman and his wife only to find out she had already sold the land to an Aussie and received payment in full. She somehow forgot to tell her siblings, which were in the attorney's office, that she collected the money but failed to pay them their share. Later I found out in another case that when this happens one of the siblings will bring a case against the purchaser and the whole transaction is thrown out with the rightful heirs getting the property and the purchaser getting the shaft. Some of the others have been this sort of scam.
Another property we tried to buy was a good deal except the 80 yo lady, yes another one, was not the only signer but she said she was the only signer. She had sold other land in Dumaguete near Valencia that she was only part owner but said she was the only signer. Property was sub divided and houses built by the unsuspecting persons. I don't know what happened in that deal.
There are two ways to hold a property in Philippines, Tax declaration and title. Once a land is titled it must remain titled, no more tax dec. There are many cases, one we encountered, where a third party would get a title to land with a tax dec and then get a title. After five years no legal suit can be brought against the person holding the title, it belongs to them period.
We were trying to buy a lot and it turned out to be on the other side of the road from the land we were shown and only turned up when the surveyor showed up and pointed out the discrepancy. We have 30k in that deal and trying to get at least some of it back.
There are so many ways to get screwed trying to purchase property here. I'm not trying to discourage you but beeee careful. If you do find something you want to buy I would suggest you go to Attorney Dee across from Palwa Hotel and have them check it out for you, even that is no guarantee the title will be good as this is not the US where you have a way to check for leins on a property.
I do not consider myself an expert but I do have some experience in property in Philippines.

 

I would suggest that if you are serious about purchasing a lot. Check out the foreclosures at the Banks. They all have a list of foreclosed properties. The banks do not want to own land they want their money back. So you can find some good deals but it takes a lot of research. Plus the ownership document's are in order before the banks will loan money on the land

 

Recently my wife and I had wills prepared. The Attorney explained the division of property purchased during our marriage as follows:
50 % to me, 1/8 to her child #1, 1/8 to her child #2, 1/8 to me (husband) and 1/8 free to be willed as she chooses.
My wife willed the free share to me. I was also told I could sell the property and would give the children their 1/8 share.
My wife has other properties that she had before we married and I'm guessing there are a whole bunch of different rules for those pieces.
The lawyer we used is a well respected lawyer (Attny Miguel) so I trust his advise.

Additionally she gave me the usufructory right to the property. The usufructory right allows me to live in the house as long as I want without fear of her grown children or any other relative moving in uninvited.
06. Usufruct | Civil Law of the Philippines

 

Any leins on a property is registered on the title deeds and this is easily checked at the registry of deeds, the registry for Negros Oriental is located on the North highway opposite the capital building. All drawings and maps can also been seen here just as long as you have the time it takes for the staff to find the relevant documents.

 

The population of this country has almost doubled in 30 years, land supply is fixed,(unless one reclaims it from the sea), simple supply and demand I presume. However, an added complication is the increased greed of both the middle & upper classes, thereby trying to screw as much from anyone who can afford aforesaid land prices. Thankfully, all our land was bought in the late '80's early 90's, when prices were reasonable. Most of our construction was also done when the Piso was around P55-58/US$ and cement was P40/sack too. One only needs to look at the 'ready made shoe box' prices in the Philsouth rabbit warrens around town, P1.6 million for a 2 bedroom and P2.1 million for a 3 bedroom, the slums and shabu hot-spots of the future......If you really want to find property prices that are crazy.

 

Well as we can see this is one of those Threads that seems to be contradictory in some ways as to who is right and who is wrong. So, this is the Latest I have found from a Lawyer that explains what I was getting at before and for me, I am happy that it is as I understood it.

* Section 7 speaks of hereditary succession. In legal speak, this means that a foreigner can acquire land through intestate inheritance, i.e. the default laws on inheritance which are not transfers of property by way of a last will and testament *

Full Source;
Can a foreigner inherit land in the Philippines?

 

You may be right here but If your land was or is Agricultural, you will need a DAR (Department of Agriculture Reform) Easement to build anything. This is then put to the BIR for Zoning, It can cost some but.................. better safe than Sorry, We have 2 Houses in our Barangay that must come down as the owner did not follow Advice and a demolish Order was issued, as always, Buyer beware of the land you try to Buy

 

Yes I can see this But and there is always a but seller has no money to buy new property and in all and intents and purposes buyer has a property not fully paid for, Just seems illogical to me, What if the Buyer wants to move in while all this silliness is going on and the seller loses his next purchase because of with holding of Money? to me, you sell something you get the Money and if we buy something we have to pay to get it. Much works needs to be done on this Mortgage issue methinks.