Can foreigners buy condos in the Philippines?

The legal basis: Republic Act No. 4726

The 1987 Philippine Constitution reserves land ownership for Filipino citizens and corporations that are at least 60% Filipino-owned. Republic Act No. 4726, the Condominium Act of 1966, creates the exception that makes foreign condo ownership possible: a condominium unit is treated as personal property, separate from the land beneath it. The land is held by the condominium corporation, and unit owners hold shares in that corporation proportional to their unit.

The 40% rule

Foreign ownership across an entire condominium project cannot exceed 40% of the total floor area or units — the remaining 60% must be held by Filipino citizens or Filipino-majority corporations. This is a constitutional-level restriction, not a developer policy, and it is measured at the project level rather than per building or per tower, so in a multi-tower development the cap applies across all towers combined.

Once a project reaches its 40% foreign allocation, the Register of Deeds will not issue a Condominium Certificate of Title (CCT) to any further foreign buyer in that project, regardless of what a sales contract says. Always request written confirmation of current foreign-quota availability from the developer before paying a reservation fee — the Master Deed and Declaration of Restrictions for the project will also show this.

Your title document: the CCT

Ownership of a Philippine condo unit is recorded on a Condominium Certificate of Title, issued by the Registry of Deeds. A properly issued CCT in your name gives full ownership rights — you can sell, lease, mortgage or bequeath the unit — and there is no expiry date, unlike a leasehold.

What buying a condo does not give you

Owning 100% of your unit does not give you any ownership of the land it sits on. That land is owned by the condominium corporation, which must itself remain at least 60% Filipino-owned. This distinction matters most at redevelopment or dissolution of the corporation, where land-related decisions are governed by the corporation's Filipino-majority structure, not by individual unit owners' nationality.

Buyer protections during construction: PD 957

Off-plan (pre-selling) purchases in the Philippines are regulated by Presidential Decree No. 957, the Subdivision and Condominium Buyers' Protective Decree. Developers must hold a DHSUD License to Sell — which requires a performance bond — before marketing units, must complete the project broadly within the promised timeline, and cannot forfeit a buyer's installment payments if the buyer suspends payment (after due written notice) because the developer failed to deliver as promised. Disputes are typically handled through the Human Settlements Adjudication Commission (HSAC), which is generally faster and less costly than the regular courts. See our common issues guide for how these protections play out in practice.

Visa status and ownership are unrelated

Any foreigner who can legally enter the Philippines can buy a condo unit within the applicable quota — ownership is not tied to any particular visa category, including retirement (SRRV) visas.

Sources

• Respicio & Co., overview of Republic Act No. 4726
• DFA Sydney PCG, "Owning Land in the Philippines"
• BalayHub, "Can Foreigners Buy Property in the Philippines? Condos, Land & the 40% Rule"
• Step By Step PH, "The 40% Rule That Stops Most Foreigners From Buying Property"
• Presidential Decree No. 957 (full text), dhsud.gov.ph
• Respicio & Co., "How to Enforce Buyer Rights Under PD 957 When Pre-Selling Condo Projects Stall"