Can foreigner buy land in the Philippines?

Currently, foreign nationals are not permitted to directly purchase land in the Philippines. This issue has been a recurring topic within the nation's legislative discussions, yet no amendments have been made to the existing laws to facilitate direct land ownership by foreigners. However, there are viable alternatives for foreigners to engage in the real estate market.

Option 1: Free Lease Hold for 99 years

One such option is securing a freehold lease agreement, which can last up to 99 years and is transferable. This type of lease offers a level of stability and control over the property that can be comparable to outright ownership, providing a solid investment without the complexities of owning land directly.

Another strategy is for foreign investors to buy shares in a Philippine corporation that owns land. Under Philippine law, foreign nationals can own up to 40% of a corporation, and if a corporation is at least 60% Filipino-owned, it is considered a Filipino corporation and can legally own land in the Philippines. This allows foreigners to indirectly engage in land ownership through corporate investment, offering a share in the company's assets, including its land holdings. This arrangement can also include assigning the use of specific parcels of land to the foreign shareholder, thus providing tangible benefits from the investment.

Have Questions?

For those interested in exploring these or other investment avenues in the Philippines, CoronProperties.com offers expert consultation services. We are prepared to guide you through the legalities and practicalities of investing in Philippine real estate, ensuring that your investment is both secure and compliant with local laws. Reach out to us for more detailed information and to learn how we can help protect your interests and maximize your investment potential.