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Buying Condo Philippines Foreigner Rules for Expats

Foreigners can own condominium units in the Philippines under the 60/40 rule: at least 60% of units in any project must be Filipino-owned, with foreigners allowed up to 40%. This guide covers the Condominium Act (RA 4726), what foreigners can and cannot buy, the buying process, taxes, and common pitfalls.

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Community-written and moderated by volunteers. Based on real experiences and official sources — offices may interpret rules differently.

Processes may vary by office, city or province. Always confirm with your local agency before traveling.

Summary

Foreigners can own condominium units in the Philippines under the 60/40 rule: at least 60% of units in any project must be Filipino-owned, with foreigners allowed up to 40%. This guide covers the Condominium Act (RA 4726), what foreigners can and cannot buy, the buying process, taxes, and common pitfalls.

Key facts

What you'll need5 items
Costs₱20,000-50,000
TimingForeigners CAN own condominium units in the Philippines (Con
Where["Metro Manila: Most foreign-friendly

What you'll need

  • 1Valid passport
  • 2ACR I-Card (for proof of Philippine residency)
  • 3Philippine bank account (for payments)
  • 4Foreign currency or proof of fund source
  • 5TIN (for tax purposes)

Steps

  1. 1

    Verify the condo project has Foreign Ownership Allocation (60/40 rule)

  2. 2

    Hire a licensed real estate broker

  3. 3

    Reserve unit (₱20,000-50,000 reservation fee)

  4. 4

    Sign Contract to Sell

  5. 5

    Pay down payment (10-30% over 12-48 months)

  6. 6

    Apply for bank financing (if not paying cash)

  7. 7

    Complete notarization and transfer of title at Registry of Deeds

Costs

ItemApprox. cost
Reservation fee₱20,000-50,000
Down payment10-30% of total price
Transfer taxes~6% of selling price (split buyer-seller)
Registration fees~1-2% of selling price
Notary fees₱5,000-15,000

Timing

Foreigners CAN own condominium units in the Philippines (Condominium Act RA 4726), but the project must have at least 60% Filipino ownership. Foreigners cannot own land.

Local variations

["Metro Manila: Most foreign-friendly, many projects with foreign allocation", "Cebu: Good options, especially in IT Park and SRP areas", "Dumaguete: Limited condo supply, mostly house-and-lot", "Provinces: Very few condos with foreign allocation"]

This section reflects real experiences. Always confirm with your local office before traveling.

Common issues

  • Foreigners CANNOT own land — only condominium units
  • The 60/40 rule means at least 60% of units must be Filipino-owned
  • Check if the project has remaining foreign allocation before committing
  • Condo prices in Manila are comparable to Southeast Asian averages
  • Maintenance fees (association dues) ₱50-150/sqm per month

Overview

Foreigners can own condominium units in the Philippines under the 60/40 rule: at least 60% of units in any project must be Filipino-owned, with foreigners allowed up to 40%.

The 60/40 rule

This is enshrined in the Condominium Act (RA 4726). Foreigners can own individual units but NOT land. A condominium project must maintain at least 60% Filipino ownership.

What foreigners CAN buy

  • Individual condominium units (within the 40% foreign allocation)
  • Commercial condo units
  • Studio, 1BR, 2BR, or penthouse units

What foreigners CANNOT buy

  • Land (including lot-only purchases)
  • Houses or townhouses (which include land)
  • More than 40% of units in any single project

The buying process

  1. Choose a project within the 40% foreign allocation
  2. Reserve a unit (typically 20,000-50,000 pesos)
  3. Submit requirements: passport, ACR I-Card, proof of income
  4. Sign the contract to sell
  5. Complete payments (cash or bank financing)
  6. Receive the condo title (Certificate of Title)

Taxes and fees

  • Documentary Stamp Tax: 1.5% of selling price
  • Transfer Tax: 0.75% of selling price
  • Registration Fee: approximately 0.25%
  • Notary fees: approximately 1-2%

Tips

  • Verify the developer is DPWH-registered
  • Check the Condominium Certificate of Title for the 60/40 allocation
  • Consult a lawyer for contract review
  • Consider the location: Metro Manila, Cebu, or Davao
Distinction: verified information is based on official sources; community experience reflects what expats lived through. Both are valuable, but different in nature.

Frequently asked questions

Quick answers to the most common questions about this process.

No. Foreigners can only own condominium units (with the 60/40 rule), not land. Long-term lease (50+25 years) is the workaround for land.

Yes, you can rent out your condo unit. Many expats buy condos as investment properties.

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  1. v1CurrentPublished
    Sep 5, 2026
    ATby Archipelago Team
    EN: Original onlyES: Reviewed translation

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