Land Ownership in the Philippines by Natural-Born Former Filipinos

Filipinos who lost their Philippine citizenship are generally treated as a foreigner. Natural-born Filipinos who lost their Philippine citizenship, however, retain some rights, in particular relating to the ownership of private lands in the Philippines. This is discussed below.

Ownership by Former Filipinos of Real Estate in the Philippines

I. PRIVATE LAND FOR RESIDENTIAL PURPOSES

The right to own private land for residential purposes is granted in Batas Pambansa Blg. 185, which limits the definition of a “natural-born Filipino” to one who is a citizen of the Philippines from birth without having to perform any act to acquire or perfect his Philippine citizenship. 

Private areas. All areas of the Philippines which are not considered “urban areas,” as characterized below, are considered rural areas. Urban areas shall include:

(1) In their entirety, all municipal jurisdictions which, whether designated as chartered cities, provincial capitals or not, have a population density of at least 1,000 persons per square kilometer;

(2) Poblaciones or central districts of municipalities and cities which have a population density of at least 500 persons per square kilometer;

(3) Poblaciones or central districts (not included in 1 and 2) regardless of population size which have the following:

  • (a) Street pattern, i.e, network of streets in either at parallel or right angle orientation;
  • (b) At least six establishments (commercial, manufacturing, recreational and/or personal services); and
  • (c) At least three of the following: (i) A town hall, church or chapel with religious services at least once a month; (ii) A public plaza, park or cemetery; (iii) A market place or building where trading activities are carried on at least once a week; and (iv) A public building like a school, hospital, puericulture and health center or library.

(4) Barangays having at least 1,000 inhabitants which meet the conditions set forth in sub-paragraph (3) of paragraph (b) above, and in which the occupation of the inhabitants is predominantly other than farming or fishing.

Limits. Former natural-born Filipinos may acquire private land, subject to the following limits:

  • Only for residential purposes; and
  • Maximum area of 1,000 square meters (for urban land), or 1 hectare (for rural land).

A transferee who has already acquired urban land shall be disqualified from acquiring rural land and vice versa. However, if the transferee has disposed of his urban land, he may still acquire rural land and vice versa, provided that the same shall be used for business or other purposes.

A transferee may acquire not more than 2 lots which should be situated in different municipalities or cities anywhere in the Philippines. The total land area acquired shall not exceed the maximum allowed.

Where spouses are qualified under the law and both avail of the privilege, the total area acquired shall not exceed the maximum allowed.

II. PRIVATE LAND FOR BUSINESS OR OTHER PURPOSES

The definition of “natural-born Filipino” under the Implementing Rules and Regulations of Republic Act No. 7042 (Foreign Investments Act of 1992) is broader compared to B.P. 185. A natural-born Filipino falls in either of the following categories: 

  • (a) from birth without having to perform any act to acquire or perfect their Philippine citizenship; or 
  • (b) by having elected Philippine citizenship upon reaching the age of majority, if born before 17 January 1973, of Filipino mothers.

Should these natural-born Filipinos lose their Filipino citizenship, they are still eligible to be a transferee of private lands, subject to certain limitations.

PURPOSE. The land shall be primarily, directly and actually used by the transferee in the performance or conduct of his business or commercial activities in the broad areas of agriculture, industry and services, including the lease of land, but excluding the buying and selling thereof. A transferee shall use the land to engage in activities that are not included in the Negative List.

AREA. The maximum area is:

  • 5,000 square meters, for urban land, or 
  • 3 hectares, for rural land 

A transferee who has already acquired urban land shall be disqualified from acquiring rural land and vice versa. However, if the transferee has disposed of his urban land, he may still acquire rural land and vice versa, provided that the same shall be used for business or other purposes.

A transferee may acquire not more than 2 lots which should be situated in different municipalities or cities anywhere in the Philippines. The total land area acquired shall not exceed the maximum allowed.

Where spouses are qualified under the law and both avail of the privilege, the total area acquired shall not exceed the maximum allowed.

III. DUAL CITIZENS

These limitations do not apply to former Filipinos who re-acquired their Philippine citizenship. Dual citizens may own private land in the Philippines just like any Filipino under Republic Act No. 9225, also known as the Citizenship Retention and Re-acquisition Act of 2003. [See Retention and Re-Acquisition of Philippine Citizenship]

P&L Law

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