Buying property in the Philippines involves more steps than most people expect — and more costs than most people budget for. Whether you’re purchasing your first home, upgrading to a larger space, or acquiring a property as an investment, the process looks the same on the surface but plays out very differently depending on your situation.

This guide walks you through every stage of the buying process — from understanding what type of property fits your needs, to what you’ll actually pay at closing, to what can go wrong and how to protect yourself. Use it as your starting point, then follow the links to sub-guides when you need to go deeper on a specific topic.

Before you look at a single listing, it helps to be clear on one thing: are you buying to live in the property, or to earn from it? The answer shapes everything — the location you target, the type of property that makes sense, and how you evaluate what you’re looking at.

End-use buyers should think about their daily life first. Where do you work? Where does your family spend most of their time? If you’re commuting to Makati, a condo in Mandaluyong or the Makati fringe will serve you better than something technically closer on a map but separated by EDSA traffic. If proximity to extended family matters — and for many Filipino households it does — factor that into your location before anything else.

Investors have a different set of questions. Which locations have the strongest rental demand? What’s the realistic yield on this type of unit in this building? Is the exit strategy clear — can you resell at a reasonable price when you need to? These are the questions that matter more than the asking price alone.

Condominiums are the most common entry point for Metro Manila buyers — lower price points, easier financing, and professional building management. House and lot properties give you land ownership and more space, but come with higher price tags, more maintenance responsibility, and location trade-offs since most are in suburban areas. Lot- only purchases are typically for investors with longer time horizons or buyers planning to build. 

There’s no universally correct answer. The right choice depends on your budget, your timeline, and how you plan to use the property. See our full guide on how to choose the right property type and location for a deeper breakdown

Documentary Stamp Tax (DST) is typically paid by the buyer at 1.5 percent of the purchase price or the zonal value, whichever is higher. Transfer Tax, paid to the local government unit, is generally between 0.5 and 0.75 percent. Registration fees for the Registry of Deeds are based on a sliding scale. If you’re taking out a bank loan, expect additional fees for mortgage registration, appraisal, and processing.

Capital Gains Tax — often misunderstood — is technically a seller’s obligation, but in practice, many transactions involve negotiation over who actually pays it. Know this going in, because it can add 6 percent to the transaction cost if it lands on the buyer’s side.

Note that specific tax rates and government fees are set by the Bureau of Internal Revenue (BIR) and relevant local government units, and they can change. Always verify current rates with your broker, lawyer, or directly with the BIR before closing. Our full guide on the true cost of buying property in the Philippines breaks this down in detail.

Foreign nationals can legally own condominium units in the Philippines, provided that the building maintains at least 60 percent Filipino ownership across all units. This is one of the most commonly misunderstood rules in Philippine real estate — many foreign buyers assume they cannot own anything, when in fact condos are a legal option.

What foreigners cannot own is land. This means house and lot properties, residential lots, and any transaction involving land title ownership is off the table for non-Filipino citizens. Some foreign buyers structure purchases through a Filipino spouse or a Philippine corporation, but these arrangements carry legal complexity and risk — always consult a lawyer before proceeding.

Overseas Filipino Workers (OFWs) face no such restrictions and can purchase any type of property. Practical challenges around remote buying — signing documents while abroad, remittance of funds, and appointing a trusted representative through a Special Power of Attorney (SPA) — are covered in our guide for foreigners and OFWs.