Regulations & Benefits: Buying Real Estate in the Philippines

Foreign Investors’ Guide to Buying Real Estate in the Philippines: Regulations and Benefits


The Philippines is a good place for foreign investors to buy real estate. The country has a growing economy, a good investment environment, and beautiful landscapes. This guide will help foreign investors understand the rules and benefits of buying real estate in the Philippines.

Regulations on Foreign Ownership

1. Land Ownership Restrictions

Only Filipino citizens or companies that are at least 60% owned by Filipinos can buy land in the Philippines. However, there are exceptions for foreigners. They can still invest in real estate through long-term leases or by buying condominiums.

2. Condominium Ownership

Foreigners can buy condominium units in the Philippines, as long as the total amount of foreign-owned units in a single project does not exceed 40%. This ensures that most of the ownership remains with local people.

3. Long-Term Lease

Foreigners who want a longer property interest can enter into a long-term lease agreement. They can have a lease for up to 50 years, which can be renewed for another 25 years. This allows foreign investors to control the property without actually owning the land.

4. Qualified Resident Foreign Corporations

Foreign companies that establish businesses in the Philippines can buy land for their office space or headquarters if they meet certain conditions set by the government.

5. Investment in Landholding Companies

Foreign investors can indirectly buy land by purchasing stocks in Philippine companies that own real estate. Although they don’t directly own the land, they still have economic interests in the property.

Benefits of Investing in Philippine Real Estate

1. High Return on Investment

Real estate prices in the Philippines are going up, so foreign investors can make a lot of money from their investments.

2. Booming Tourism Industry

The tourism industry in the Philippines is growing, so there are many tourists looking for places to stay. Foreign investors can rent out their properties to these tourists and make money.

3. Resilient Economy

The Philippine economy is stable and strong. It has a young and skilled workforce, and many businesses outsource work to the country. This helps the real estate market stay strong.

4. Diverse Investment Options

Foreign investors have many options when it comes to real estate. They can invest in residential, commercial, industrial, or agricultural properties. This lets them choose the type of investment that suits them best.

5. Attractive Tax Incentives

Foreign investors can get tax breaks when they invest in special economic zones or industries that the government wants to support.


Q1: Are there any limitations on the size of land that foreign investors can acquire?

A: No, there are no specific limitations on land size for foreign investors in the Philippines. However, they can only buy certain types of properties and must follow the rules mentioned earlier.

Q2: What are the procedures involved in acquiring real estate in the Philippines as a foreign investor?

A: The process involves finding a property, doing research, negotiating, signing legal documents, and registering the property with the government. It’s a good idea to hire a real estate lawyer or agent to help with this process.

Q3: Can foreigners lease land for farming?

A: Yes, foreign investors can lease agricultural land. The lease can last up to 25 years and can be renewed for another 25 years if the lessee follows the terms of the lease.

Q4: Can foreign investors get mortgages for properties in the Philippines?

A: Yes, foreign investors can get mortgages for properties in the Philippines, even if they have bought them through long-term leases or condominium ownership. They can get loans from local or international banks.


– Philippine Constitution:
– Philippine Economic Zone Authority:
– Board of Investments: