Planning to buy house in cebu for 1million peso

Hello aldirassa.

Do not forget that you have the Housing in Cebu section. You could post an advert there.

Thank you,
Aurélie

i can help you finding a house here in cebu i live here and i can guide you were. just email me at [email protected].

Hi Apple!

Is your PM box full yet? You will find there are LOTS of Realtors here that are willing to help out... But just be careful when buying out here...

Are you or your husband Filipino? If not, I think you'll be limited to a condo as you won't be able to own land... and at 1,000,000 pesos I don't think you will have many options for a detached house (unless you buy out of town)

If you do buy a condo... try to buy one already built... stay away from pre-sales unless you buy through a reputable company (many get started and never get finished)... Also, be prepared for your possession date to be delayed...

I would recommend coming here first and staying in a hotel for a while... get used to the 'lay-of-the-land' before deciding where to plant your roots...

All the best!

J

(moderated: no free ads please)

Aurélie wrote:

Hello aldirassa.

Do not forget that you have the Housing in Cebu section. You could post an advert there.

Thank you,
Aurélie

I assume you can only mean a house in Cebu in the province?
Recently a German build a 50 sqm unit in Balamban for half a Million, simple and no tiles, paint etc. completed it would costs about a million.
However, he had the lot already !
Not that it isn't doable, just to find one finished is "dreamland" or luck.

City :

You may be lucky acquiring some smallish Unit somewhere, but it certainly won't fit anywhere near your Standards.

In METRO Cebu City area you may find some tiny town-houses in very crowded places, but the chance to get those is as remote as a lottery win.

I recall, in 1998 when I first arrived here, there were tiny Units in some Subdivision ( 24 and 35 sq) offered around that price, but all of those are now priced at 2.5 million (USED!). I should have bought one back then but I did not believe then that the Market shoot up like that.

New ones now cost 2.5 and up.

The further away from the city, the cheaper they become, also in building standards.


Rule of thumb for Cebu City - Contractor Building Prices are 18.000 php per sqm now.
Luxury is 28.000 and up..

Cheers

Ohh geeesh..I hope you are not planning of being in the city proper with your 1 million pesos budget. I am  a native of Cebu as well house hunting but I dont want to live in the suburb and decent houses in the city doesnt go low as 3 million pesos.

there's an american expat living n cebu that can help you, i can give to you hs number, do you need ready for occupancy?

[Moderated: No free ad on the forum.]

Hi Apple:
Be careful.  A foreigner cannot own land in the Philippines.  Unless you are a returning Filipina, don't let anyone tell you that you can own land.  DO some research first.

First check into the property laws here in the Philippines, Foreigners are not allowed to buy property without a philippine citizen having 60% ownership, try condominiums instead, there you can have 100% ownership. also try ayosdito.com for real estate listings for where you are interested in buying

Hi Apple. I'm a In house seller in one of the leading developers in the Philippines and I am based here in Cebu. I would just like to ask since you mentioned that you are from Sweden, are you swedish or a filipina married to a swedish? Foreigners cannot buy nor own a house and lot in the Philippines, not even town house, but if you are a born filipina married to a foreigner, it's possible. We have one residential project that is a house and lot, situated in Talisay City, and the price is P1.9Mn.

You will not get a decent house for anything like 1m - real estate is actually very expensive especially when you consider the quality of the building which is very rough (no cavity walls here) - In addition Cebu City water system is pathetic and it will be 20 years before you can turn on a tap or take a shower when YOU want too
I have recently moved into a 5m townhome and the earliest time I can get a shower is 4:00pm (and the showers have pumps on them - It's pathetic because the locals DON'T complain they just put up - I'm having a hard time with this

[moderated: off topic.]

crosz wrote:

Hi Apple. I'm a In house seller in one of the leading developers in the Philippines and I am based here in Cebu. I would just like to ask since you mentioned that you are from Sweden, are you swedish or a filipina married to a swedish? Foreigners cannot buy nor own a house and lot in the Philippines, not even town house, but if you are a born filipina married to a foreigner, it's possible. We have one residential project that is a house and lot, situated in Talisay City, and the price is P1.9Mn.

Not totally true!!!!   "Foreigners cannot buy nor own a house and lot in the Philippines, not even town house"   All foreigners can own a condo, townhouse if and when the property was developed and registered with CCTs and the total units sold to foreigners does not exceed 40%.   A foreigner can own a house or building placed on land with a TCT if there is a min 25 year lease in the foreigner's name and the terms of said lease are recorded with the TCT (of course with a Phil owner/lessor on the TCT).  It is said, "The Condominium Act of the Philippines, R.A. 4726, expressly allows foreigners to acquire condominium units and shares in condominium corporations up to 40 % of the total and outstanding capital stock of a Filipino owned or controlled condominium corporation."  However, One must search hard for a "Townhouse" built with a CCT but I have seen them in Metro Manila. 

Once the units (condo/townhouses) are released to be built on property with a TCT, I am not aware of a method where a foreigner can come along and wish to purchase said unit and suddenly the TCT titles are transformed to CCT titles.....

You should think long and hard before buying in the Philippines. This is a third world country with very little infrastructure.  The prices are way too expensive for the quality.  I have seen so many foreigners come in and buy or build, paying US prices and can never sell them to get their money back.  Resale is almost impossible for the prices.  Rent for a year or so before you buy.  And remember, everyone here will do their best to cheat you. Everyone. Period.

Apart from everyone here will trying to cheat you, which from what I have read here and in other forums is a load of bullchips.

What I'm interested in does anyone have thoughts on buying/renting/living in the Benguet province, or provinces just outside that area as I wan't to get as far away from the rat race as possible.

Cheers

Talk to me about people cheating after you have lived here a few months.

garyww wrote:

Talk to me about people cheating after you have lived here a few months.

Hmmm, I thought that after having lived there for a while the people would start to know you and now that your not an easy Kano target?

But, you're right, I will have to find out for myself.... in the not too distant future.

Cheers

garyww wrote:

You should think long and hard before buying in the Philippines. This is a third world country with very little infrastructure.  The prices are way too expensive for the quality.  I have seen so many foreigners come in and buy or build, paying US prices and can never sell them to get their money back.  Resale is almost impossible for the prices.  Rent for a year or so before you buy.  And remember, everyone here will do their best to cheat you. Everyone. Period.

***************************************************

Unfortunately, this is all very true, all the way down to the cheat part.

If one buys and builds a house, with the idea of a dwelling of Western standards, it's going to be expensive to build and the only way you'll ever get most of your money back out of the home is if you sell to another foreigner, this is almost written in stone. There are wealthy Filipino's but the chances are pretty slim that you will know or interact with them. They buy, sell, and deal differently than Westerners.

I think the operative word here is "living standards" and what someone from the West, wants, (needs), and is willing to accept. These "standards" are well beyond "the Philippino's" ability to pay, or even simply maintain. That is electric, water, and just the basics of running and maintaining a Western household is beyond what "the Philippino" can afford.

So when you build, you are building a home for the privileged class, even though it's not your intention, and not in your thoughts at the time, but that is the end product. And if you ever sell, it's almost mandatory that the buyer be someone like you. Bearing in mind that the someone(s) like you... don't grow on trees in the Philippines, they are quite rare. 

And as the gentleman above mentioned, about infrastructure, there isn't much of one here. So the home you build to Western standards, is really more of an anomaly, that does not fit into the prevailing infrastructure, the home you build is in general well out of reach of the everyday Philippino. The old saying out West is that remember when you "buy the farm, you own it", meaning; there's not an easy way out. The rule applies nicely here in the Philippines.

Rent for a year, or two, maybe even three... If you make it through the 3rd year, you can safely "buy the farm" because you already own it, by knowing and understanding the prevailing culture, there won't be too many surprises left.

Okay, thanks for the sound advice.

Next question though, what it the deal with rent to buy, is this as per 'western' culture, where you pay extra on the rent and then own the property (house, condo, farm, etc)?

Cheers

Senutyenool wrote:

Apart from everyone here will trying to cheat you, which from what I have read here and in other forums is a load of bullchips.

What I'm interested in does anyone have thoughts on buying/renting/living in the Benguet province, or provinces just outside that area as I wan't to get as far away from the rat race as possible.

Cheers

*******************************************

"I wan't to get as far away from the rat race as possible."


It's easy enough to get away from the rat race here in the Philippines, dirt floor shacks made from coconut leaves, no bathroom, electricity, refrigerator, the windows, if they have windows, have no screens, insects come and go like they own the place because they do, ants march across the table as you eat, with the flies buzzing and eating (your) food right along with you. The rats are as big as cats, and the cats don't chase the rats and dogs don't chase the cats, everybody has given up.  Yes, it's easy to be "far from the maddening crowd here". And, ascaris lumbricoides, well... they need to eat too. Not to worry, one can do it like they do on the discovery channel here in the Philippines.

Hmmm, what can I say....  That was helpful...NOT!

Thanks for no help, appreciate it /sarcasm

Find a "Rent -to-buy" lot/house/condo/townhouse with CCT and post it here.........

Okay, pretend I'm dumb (and I fairly well am when it comes to moving to Philippines, have only been researching for 4 days )
but what does CCT stand for?

Cheers

You are not dumb and that was not my intent to imply such...  here is a guide that may help:

Guide in Title Transfer of Properties

This is a compilation of research (from various internet sources and websites) I have done in the past 3 years for buying land here in the PI. 

Remember, here in the PI an adapted form of the "Torrens*" system of land registration is used. "The system was adapted to assure a buyer that if he buys a land covered by an Original Certificate of Title (OCT) or the Transfer Certificate of Title (TCT) issued by the Registry of Deeds, the same will be absolute, indefeasible and imprescriptible". 

So, If the land is only purchased with a tax declaration you may never own the land and can have both land and house you later build on it lost to the "real" legal owners or actual TCT holders claiming it is theirs. 

The standard sharing of expenses between the buyer and the seller when transferring the real estate property title (TCT - Transfer Certificate of Title or CCT - Condominium Certificate of Title) to a new owner is as follows:

The SELLER pays for the:
    •    Capital Gains Tax equivalent to 6% of the selling price on the Deed of Sale or the zonal value, whichever is higher. Withholding Tax if the seller is a corporation
    •    Real estate taxes due up to date of sale.
    •    Broker's commission.

The BUYER pays for the cost of Registration:
    •    Documentary Stamp Tax - 1.5% of the selling price or zonal value or fair market value, which ever is higher.
    •    Transfer Tax - 0.5% - 0.75 %  of 1 % of the selling price, or zonal value or fair market value, which ever is higher.
    •    Registration Fee - 0.25% of the selling price, or zonal value or fair market value, which ever is higher.
    •    Incidental and miscellaneous expenses incurred during the registration process.

The above sharing of expenses is said to be the standard practice in the Philippines. However, buyers and sellers can mutually agree on other terms as long as it is done during the negotiation period (before the signing of the "Deed of Sale").  Often the Deed of Sale is without these terms being documented and the buyer is left with a big shock when the bills to pay for the TCT are presented to the new buyer.

The "Deed of Absolute Sale" is a Legal Document for  transfer of real estate property ownership.
    1.    The Deed of Absolute  Sale is brought to the Bureau of Internal Revenue for the Computation of Capital Gains Tax / Withholding Tax and Documentary Tax . After payment of Taxes.
    2.    BIR will issue CAR (Certificate of Authority to Register)
    3.    Pay Transfer Fees at City Treasury
    4.    Pay Registration Fees at The Registry of Deeds and have Transfer of Ownership  officially recorded.
    5.    Registry of Deeds issue new Transfer Certificate of Title / or Condominium Certificate of Title.
The Agent / Broker will usually do the registration process (sometimes for a fee). However, all government taxes, transfer fees and incidental or miscellaneous expenses will be shouldered by the buyer.

Special note:  According to RA 9337, the following sales of property are VAT-Exempt
    "Residential lot valued at one million five hundred thousand pesos (PHP1,500,000) and below, house and lot, and other residential dwellings valued at two million five hundred thousand pesos (PHP2,500,000) and below: provided, that not later than January 31, 2009 and every three (3) years thereafter, the amounts herein stated shall be adjusted to their present values using the Consumer Price Index, as published by the National Statistics Office (NSO)."

Documents needed when transferring the title (TCT or CCT) to the new owner:
    •    Certified true copy of the title / and
    •    Tax clearance
    •    Notarized copies of the Deed of Sale
    •    Certified true copy of Tax declaration of the property
    •    Receipt from Bureau of Internal Revenue that the capital gains tax and documentary stamps have been paid
    •    Certificate of Authority to Register  (CAR)
    •    Receipt of payment of the transfer tax and registration fees

Hehehe, was not implying that you were surmising that I was dumb, maybe I should have said 'uninformed' as I have no idea what I could be getting into over in Paradise.

Thanks very much for the info and explanations Calif-Native, appreciate you taking time out to clarify things.

Gives a lot to mull over....

Cheers

In short, the Registry of Deeds will never issue a TCT to a foreigner as the owner.  However, a CCT can be if all other requirements are met (i.e., no more than 40% foreign owned project).

You are most welcome and I hope you take each step, as detailed as you need, to get the best result for you...   Take care

Also, recently there has quite a bit of problems with heirs and assigns.  It appears that if you purchase a piece of property, you must also get any heirs or potential heirs to agree to the sale.  Some have come after the sale and have been able to legitimately force the buyer to pay them additional funds.  Everything here is a scam and you need to cover yourself as much as possible.  Unfortunately, most of the attorneys will take advantage of you.  If it is land, you must also take care of any squatters as you are required to see they are moved.  This is not a country you want to purchase land in.

So are you saying that even with the Rent-to-buy condos you can get 'bitten'?

Cheers

Senutyenool wrote:

Hmmm, what can I say....  That was helpful...NOT!

Thanks for no help, appreciate it /sarcasm

*********************************

Dear Brother,

In the poker game of life, sometimes sarcasm can be a real good card.

Useful? Yes! The post was a bit of the hard hitting (reality) of those who (live here) and have no "rat race" to leave, or get away from. Hard hitting yes, useful yes, because of the stark reality of its truth.

Slight pivot, I checked for flights to Baguio too, from in country, Manila, Cebu, Davao, anywhere...I couldn't find any, if anyone knows of such flights please post them here, or on the "flight to Baguio" thread. I've been to Baguio a couple of times, I rented a private van out of Balibago Fields Ave area, but I think the best, and maybe the smartest way to go is via the bus station in Angeles City, a fifteen minute ride in a taxi from Clark AFB to the bus station. Take an express air conditioned bus, and keep your jacket handy, you can relax and enjoy the ride and scenery.

Happy trails.

garyww wrote:

Talk to me about people cheating after you have lived here a few months.

**********************************

Yes, there is little need to talk of "tears wasted crying in the rain", and innocence lost, so early on the day. However once one walks out of the airport and the wolves waiting move in, then... the tears and innocence all begins to make sense.

But then again, there are those who say what the fhck, a few K here a few K there, does it really matter? The short answer is yes...everything matters.

All foreigner's can rent a house even with a TCT.. yet, none can buy as an individual if TCT.   Make sure you have a contract that deals with the legal parts of the buy aspect with a CCT or it will be a waste as you are forced to walk away with no house or refund on the option funds spent.

I hear another option is to put it under two local people (friends/trusted) you at 40%, both the others at 30% and then you can put a lean on the pproperty and... actoualy maybe wind up owning it but I am not a law major.


i  know this, my wife is local and in  Iapu-lapu cebu, land is around 3000 for local buyers. sO  100sqm is 300,000 and house will cost around 300,000. Being a forgener, if they know I am buying or at least using my money it would be a lot more. (Note this is penoy house, not western) ((to build western, multiply x5))

pm me if you want more info

Leebeme I don't like to sound like a naysayer, but to me that statement sounds good on paper but I highly doubt a foreigner can be protected by some apparent mechanism on paper.
I once heard an expat tell me, (and I have held on to this advice tightly),
"the job of a foreigner in the Philippines is to bring with you everything you have ever accumulated and LEAVE IT!
A couple more "sayings" from expats in the Philippines that I would strongly subscribe to after even a small amount of experience here are:
"Never invest more in the Philippines than you are prepared to lose."
"The quickest way to make a small fortune in the Philippines is to start with a large one!"

I do not disagree with you at all and i truly love those sayings, but i have always been a fool that must fail for himself first! I am not going to do the option i gave. i am having my wife buy it! This is also the first time i got married and i may be wrong to trust her, but I love her and again I have to learn the hard way!

One other quotI  i like, "you only fail when you give up"

Happy wife happy life bro.

IF it is just a house to live in with you and your wife it is all good. 25 grand is not much to spend on trust. And if u did not trust her you would not have married her.

U only live once and money is not the end all and be all. We are lucky in some respects as we make a hell of a lot more then 95% of this country.

I good contract with her is still a must as you can lease this the land for 25 years off of her and the house u can own yourself.

If she loves you she will allow this as a fail safe. But then again if you trust her that is great but can you know what she is going to be like 10 years from now or you yourself.

Living here has a lot of temptation. But I am also at the same point where you are I am also buying a house for my wife and I to live so if anything happens to me she has a bit of security.

Why else would you marry someone if you do not trust them so all good mate and good luck to you.

Leebeme and Awesome guy...
   I absolutely agree with you both. I still believe in marraige too, and trust. I't's sometimes easy to get on a negative tangent where somethings are concerned. Perhaps after a long bout of marital problems, trust, and integrity in individuals and systems...
Thanks for the positive reminders.
Good luck and have fun!