# Ownership



## fodder (Jul 21, 2013)

Hey all, thinking about moving from australia to settle and retire in the phils, but am concerned about some of the stories I have read on other forums regarding land, home and business ownership. I know I can own a condo, which I dont want, but am wondering if others have any legal arrangements in place re ownership. Apparently as a foreigner, I can only legally own 40% of my investment. What does one do in the case of leaving their children their assets in a will for eg?

Like goodness, we are married for only a few months for example, and split up, and she gets 60% of all the assetts? Phew, ha ha.

Has anyone else been able to legally circumvent these ownership issues? Thanx people


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## JimnNila143 (Jul 23, 2013)

fodder said:


> Hey all, thinking about moving from australia to settle and retire in the phils, but am concerned about some of the stories I have read on other forums regarding land, home and business ownership. I know I can own a condo, which I dont want, but am wondering if others have any legal arrangements in place re ownership. Apparently as a foreigner, I can only legally own 40% of my investment. What does one do in the case of leaving their children their assets in a will for eg?
> 
> Like goodness, we are married for only a few months for example, and split up, and she gets 60% of all the assetts? Phew, ha ha.
> 
> Has anyone else been able to legally circumvent these ownership issues? Thanx people


It is true, you can own a condo, but as far as land, no, only a Filipino can own land. You can own the house that sits on that land PROVIDED that the owner of that land is your wife. As fat a owning a business, Philippine Law states that 60% of a business located in the Philippines has to be Filipino owned. I.e., if you and your wife stated a business together, she will own 60% of it. As far as children in the relationship, you have a legal obligation to provide for them until they are 18 years of age or if they are in school, still, i.e., college. Until then, they are yours. As far as general assets, i.e., my wife and I both have an income which we split 50/50. I am the majority bread winner, she is the minority bread winner. We still share as far as expenses. I just put her through caregiver school and we have a small sari sari store together.


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## Shanghai88 (Jul 23, 2013)

I moved here from Australia just over 6 months ago. I have taken advice from long term expat friends here and have decided just to rent for the first year or two.

Some of my friends here have purchased land / house etc...land can only be in filipino name but if you build then the house can be in your name. Some have also taken power of attorney over the land title.


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## fodder (Jul 21, 2013)

Thanx guys, yeh, POA seems an important step firstly I guess, cheers for the replies


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## overmyer (Aug 15, 2013)

Shanghai88 said:


> I moved here from Australia just over 6 months ago. I have taken advice from long term expat friends here and have decided just to rent for the first year or two.
> 
> Some of my friends here have purchased land / house etc...land can only be in filipino name but if you build then the house can be in your name. Some have also taken power of attorney over the land title.


Just an aside: while a non filipino can't buy land, they can own it via inheretance (a non citizen spouse would be noted on the property deed as such).


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## jon1 (Mar 18, 2012)

Yes a foreigner could own the land for example, if his filipina wife died. However, the law stipulates that the land must be sold within a "reasonable" amount of time. Just like everything else here, poorly written/clear as mud, as reasonable is not definitively defined. Therefore leaving room for interpretation which would probably be done in adverse way for whoever finds themselves in this situation. 

Lawyers... you gotta love them!


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## Asian Spirit (Mar 1, 2010)

jon1 said:


> Yes a foreigner could own the land for example, if his filipina wife died. However, the law stipulates that the land must be sold within a "reasonable" amount of time. Just like everything else here, poorly written/clear as mud, as reasonable is not definitively defined. Therefore leaving room for interpretation which would probably be done in adverse way for whoever finds themselves in this situation.
> 
> Lawyers... you gotta love them!


I had heard something (fact???) along that same line some time ago. The story I "heard" is that you would have two years to re-marry (a Filipino Citizen) and title the land to the new spouses name and that the foreigner can not sell the property. Yep--clear as mud..


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## Rebaqshratz (May 15, 2016)

I wonder if the "wife" signed a loan agreement for the cost of the house then you could place a legal "lean" on the home should the wife pass away first?


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## Gary D (Oct 28, 2013)

Rebaqshratz said:


> I wonder if the "wife" signed a loan agreement for the cost of the house then you could place a legal "lean" on the home should the wife pass away first?


The Philippine family code treats a husband and wife as a single entity so it would be like loaning it to yourself. If the wife passed first you would inherit according to the inheritance laws. The cat, dog and chickens are ahead of you.


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## Tukaram (Dec 18, 2014)

There a few tricks people try to "own" their property... they just don't work. As stated above you and your spouse are one legal entity, and you cannot lease to yourself. Some people set up companies and lease to or from the company.

The main thing is that if the courts feel you are trying to get around they system they will use the 'anti-dummy' laws and find in favor of the local. It is just not worth the effort to try and scam the system. 

If you do not trust your wife enough to put the house in her name - do you trust her enough to marry her?


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## yakc130 (Apr 27, 2012)

Touche! :thumb:


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## pijoe (Jul 21, 2015)

There was a thread back in November or so where a Filipino lawyer put this issue to bed with a very well written explanation of the inheritance laws.


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## joneeboy (Jul 29, 2013)

All the legal 'tricks' in world will not help you in the Philippines if your marriage to a Filipina breaks down. Yes, you can buy a condo( at an inflated foreiger price), but you can't buy even one square inch of land, and never will be able to, unless there is a constitutional change. If you have them, it is far better to leave/invest your assets outside the Philipines. If you become involved in ANY dispute with your wife or her family, you will lose, because the entire legal system, the police and the local authorities will take her side, not yours. Seemingly simple court cases can last for years, due to 'continuancies ' or adjournments. Your own lawyer will be happy because you will have to pay him an appearance fee every time he goe to court for you. 
The vast majority of Filipinas would leave the country immediately if they had the chance. If you are thinking of marrying one that does not, you could be one of the few lucky ones, but you would do well to be suspicious of possible motives.


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