Buying a house in the Philippines: no land, but a condo within the 40% limit, and a 25-year lease
As a foreigner you may not buy land in the Philippines. A unit in a condominium is possible, as long as the foreign share in the building stays under 40%. As a private person you lease land for at most 25 years, renewable once for 25 years. The taxes on a purchase add up to 8 to 8.25%, and only registration in the register makes you the owner.
5 min read
Written and checked by Auke on , against the sources at the bottom. Is something no longer right? Report it below and I'll fix it.
As a foreigner you may not buy land in the Philippines. The Constitution says so. What you can do: buy a unit in a condominium, an apartment building with shared areas, or lease land on a long lease. If you hold an SRRV, the retirement visa of the Philippine Retirement Authority (PRA), you can convert your visa deposit into such a unit. On the purchase you pay taxes on the price or the value, and only registration in the register completes the purchase.
What may you own as a foreigner?
| Form | What applies | Limit or term |
|---|---|---|
| Land | not for sale to a foreigner, except by inheritance | Constitution, Article XII section 7 |
| Unit in a condominium | allowed, as long as the foreign share stays within the legal limit | Filipinos hold at least 60% |
| Leasing land as a private person | allowed, with a lease | at most 25 years, renewable once for 25 years |
| Leasing land as a registered investor | only with an investment under RA 7652 | since 2025 at most 99 years in total |
| Land for a natural-born Filipino who lost that citizenship | allowed, within legal limits | Constitution, Article XII section 8 |
Why can't you buy land?
The 1987 Constitution lets private land pass only to those who may also hold land of the public domain. A foreigner does not qualify. The only exception is inheritance. If your Filipino partner buys land, that land is in your partner's name. You are not its owner.
If your partner is a natural-born Filipino who became Dutch, your partner may buy land within legal limits. Under the law RA 9225 your partner can also reacquire Philippine citizenship, at the embassy in The Hague, for € 50.
You often read that a foreigner may lease land for 50 years, plus another 25. That is not true for an ordinary emigrant. That long term from the Investors' Lease Act (RA 7652) only applies to registered foreign investors. Since RA 12252 of 2025 it is at most 99 years in total. For everyone who does not invest in that way, PD 471 still applies: at most 25 years, renewable once for 25 years if both parties agree.
How do you buy a condo unit?
The Condominium Act (RA 4726) sets the limit. If the shared areas belong to all owners together, units only go to Filipinos or to companies with at least 60% Filipino capital. If a condominium corporation holds the shared areas, a sale may not push the foreign share in that corporation above the legal limit. So ask before you sign what percentage is already in foreign hands.
The purchase itself is done by public deed before a notary, the Deed of Absolute Sale. You then register the purchase with the Register of Deeds. The registration law PD 1529, the Torrens system, puts it this way: only registration conveys ownership. Your title is then a Condominium Certificate of Title (CCT). Have the title checked for clean ownership before you buy.
For the taxes you need a Philippine tax number, a TIN. Anyone dealing with the tax office BIR on a one-time basis applies for it with form 1904 at the tax office where the property is located.
What do you pay on the purchase?
| Tax | Rate | On what | Who pays by law |
|---|---|---|---|
| Capital gains tax | 6% | price or market value, whichever is higher | the seller |
| Documentary stamp tax | 1.5% (₱ 15 per ₱ 1,000) | price or market value, whichever is higher | agree it yourselves |
| Transfer tax | at most 0.5%, in a city at most 0.75% | price or market value, whichever is higher | the seller, within 60 days of the deed |
| Registration with the Register of Deeds | no official amount found |
An example. A condo unit of ₱ 7 million costs about € 100,000. The capital gains tax is then ₱ 420,000 (about € 6,000), the stamp tax ₱ 105,000 (about € 1,500) and the transfer tax in a city at most ₱ 52,500 (about € 750). Who pays which tax is set in the sales contract. So agree on it beforehand.
How does the SRRV deposit work?
For the SRRV Classic you place a deposit of US$ 15,000 to US$ 50,000 (about € 13,400 to € 44,500), depending on your age and whether you have a pension. The PRA lets you convert that deposit into an "active investment", such as a ready-for-occupancy condo unit. It works like this:
- The PRA must approve the purchase first.
- An annotation goes on your title: selling or encumbering is only allowed with the PRA's approval.
- Within 180 days you hand in the notarised deed of sale and the CCT in your name to the PRA.
- You post a bond (surety bond) equal to the deposit.
If you do not hand them in on time, the amount withdrawn must be returned.
What happens to your home after your death?
The Philippines levies 6% estate tax on the net estate. The Netherlands also levies inheritance tax if you left less than ten years ago (section 3 of the Dutch Inheritance Tax Act). There is no treaty; the Netherlands credits the Philippine tax under its own rules. Read inheritance tax after emigration.
What do you watch for in the location?
The NederlandWereldwijd travel advice is red for the western part of Mindanao and the Sulu archipelago. For the rest of the country it is yellow. Look at wind and water too. In and around the Philippines an average of 20 tropical cyclones form each year, and 8 or 9 of them cross the country. The peak runs from July to October. Around four active volcanoes (Bulusan, Kanlaon, Mayon and Taal) there are no-go zones of 2 to 6 kilometres. Ask about the construction, the roof, flooding and the insurance.
If you want to live first and buy later, start with renting in the Philippines.
In Vertrekklaar this is phase 5 of 5 of the journey, step 5.8: the same steps, but for your situation — in your order, tickable, and with the deadlines watched. See the whole journey to the Philippines or go straight to step 5.6 in the open plan.
What this rests on
The facts in this article come from these official pages. Rules change. When in doubt, go by the source, not this article.
- Constitution of the Philippines (1987), Article XII, sections 7 and 8 — no land for foreigners, except by inheritance — lawphil.net
- Philippine Embassy in The Hague — retaining or reacquiring Philippine citizenship (RA 9225), € 50 — philembassy.nl
- Condominium Act (RA 4726), section 5 — condo units and the limit on the foreign share — lawphil.net
- Presidential Decree 471 (1974) — leasing land as a foreigner, at most 25 years plus 25 years — lawphil.net
- Investors' Lease Act (RA 7652), sections 4 and 5 — the long lease only for registered investors — lawphil.net
- RA 12252 (2025) — the investor lease at most 99 years in total; PD 471 remains for everyone else — lawphil.net
- National Internal Revenue Code (RA 8424), section 24(D) — 6% capital gains tax on the sale of real property — lawphil.net
- TRAIN Law (RA 10963), section 196 — the documentary stamp tax of ₱ 15 per ₱ 1,000 — lawphil.net
- Local Government Code (RA 7160), sections 135 and 151 — the transfer tax of province and city — lawphil.net
- Property Registration Decree (PD 1529), section 51 — only registration conveys ownership — lawphil.net
- BIR forms (overview on lawphil) — form 1904 for a one-time taxpayer — lawphil.net
- Philippine Retirement Authority — the SRRV, with the deposit and what you may do with it — pra.gov.ph
- Philippine Retirement Authority — checklist for converting the deposit into a ready-for-occupancy condo unit — pra.gov.ph
- NederlandWereldwijd — travel advice for the Philippines, with the red areas, typhoons and volcanoes — nederlandwereldwijd.nl
- PAGASA — tropical cyclones in and around the Philippines — pagasa.dost.gov.ph
Read on
- PhilippinesAankomst in de Filipijnen5 min
Renting in the Philippines: the rent law only applies up to ₱ 10,000 a month, so your contract is your protection
The Philippine rent law, the Rent Control Act, only protects cheap homes: up to ₱ 10,000 a month in Metro Manila and the large cities, up to ₱ 5,000 elsewhere. Within that limit a landlord may ask at most one month in advance and two months' deposit. If you rent for more, your contract decides everything. A lease of more than a year must be in writing.
Updated 20 October 2026
- PhilippinesAankomst in de Filipijnen3 min
Banking and paying in the Philippines: cash, a dollar account and 20% on your interest
You may bring at most ₱ 50,000 in pesos in cash into or out of the Philippines without permission from the central bank. Foreign currency is unlimited, but above US$ 10,000 you declare it. Anyone may open a foreign currency account at a designated bank. Since July 2025, 20% tax comes off interest from a Philippine bank; interest from your Dutch bank is not taxed by the Philippines.
Updated 20 October 2026
- PhilippinesAankomst in de Filipijnen5 min
The first weeks in the Philippines: 30 days, extending, and the ACR I-Card after 59 days
In your first weeks in the Philippines the immigration clock is running. With a Dutch passport you get 30 days. After that you extend by 29 days for ₱ 3,030, and then by 1, 2 or 6 months. If you stay longer than 59 days, you get an ACR I-Card. Meanwhile the 90 days on your driving licence count, and from June to November the typhoon season.
Updated 20 October 2026