02/02/2023
Requirements for OFW's for Property Purchase in the Philippines.
Dual Citizens and Filipino Citizens can own land and structure here in the Philippines.
Foreign Nationals and Filipinos who changed their stature to foreign citizens and renounced their Filipino citizenship cannot own land. Still, they can own condominiums here, granted that the percentage of ownership of foreigners for the entire condominium is about 40 percent only. RA 4726.
It is highly recommended for OFW's to have a representative (SPA)* here in the Philippines to sign some contracts and bank forms for the clientβs behalf if he goes back to the country where he works/lives other than the Philippines.
These are the simple requirements for OFW's for property purchase in the Philippines:
1. Special Power of Attorney (SPA)* - this document gives authority on all or some of the following on behalf of the client (OFW) in case he cannot stay here in the Philippines for a long period of time:
Sign Documents (Bank Forms - If Loaned and Contracts)
Receive Proceeds of Bank Loan - If Loaned
Execute and Sign Contract to Sell and Deed of Absolute Sale
In SPA's, you may execute and make Attorney in Fact your relatives or family members of legal age. It must be Notarized or Consularized in the place where it is signed**
* Note: In cases that the OFW can finish all the documentation here in the Philippines (2 to 5 months for cash purchase - includes titling) or (3 to 6 months for Bank Loan), he doesn't need to execute a SPA
** Note :
If signed abroad - Consularized: The OFW or Grantor or executor of SPA must sign the SPA Document and proceed to a Philippines consular office to have it consularized (the equivalent of notarization here in the Philippines), and then original copies are sent here via courier.
If signed in the Philippines - Notarized: The cheaper alternative, it just needs the IDs of Attorney in Fact and the passport of the grantor, which is the client or the OFW. The passport needs to be photocopied. The signing and notarization of the Special Power of Attorney (SPA) shall have the same date as the OFW's stay here in the Philippines as seen on the arrival and departure stamps on the Passport.
*** Reminder
A SPA doesnβt signify ownership to the Attorney-in-Fact but only authorizes them on some aspects of documentation or receiving of property.
2. Passport - photocopy of identification portion and arrival and departure stamps portions
3. Job Contract and payslips, if any - Needed for bank loan purposes
4. Bank Statements - Needed for bank loan purposes
5. Marriage Contract
Some banks may require other Requirements.
Bank Loans:
Some banks in the Philippines offer housing loans to OFWs, granted that they should not be more than 60 years of age (other banks allow up to 65) on loan maturity.
They accept auto-debit arrangements, or you may opt to open savings or checking accounts**** here in the Philippines for Amortization Payments.
****Some banks are now strict on allowing individuals to open a checking account. Please check on your bank of choice first.
