OFW Property Buying Guide Philippines | Legal, Safe, Smart

Buying a House as an OFW: What You Must Know Before You Sign

Avoid costly mistakes. Build your future the right way.

1. A Home Built on Sacrifice

For most OFWs (Overseas Filipino Workers), buying a house back home is the ultimate reward for years of hard work abroad. It’s about security, legacy, and dignity.
But too many fall victim to poor advice, false promises, or rushed decisions.
This guide will help you buy legally, safely, and smart.

2. Step One: Verify the Title Before Anything Else

Never rely on a photocopy or verbal assurance. Always:

Request a Certified True Copy of the land title from the Registry of Deeds

Make sure the seller’s name matches the title

Check for encumbrances, liens, annotations, or ongoing disputes

Ask for updated Tax Declaration documents and real property tax receipts

Estimated cost for verification: ₱200–₱500

3. Hire a Lawyer or Licensed Real Estate Broker

A licensed real estate broker can help you find valid listings and assist with paperwork.
A lawyer is essential to draft or review the Deed of Sale, perform due diligence, and assist with title transfer.

Cost estimate:

Lawyer: ₱10,000–₱30,000

Broker: Usually paid by seller (3–5% of property price)

4. Inspect the House with a Professional Engineer

Whether you're buying a finished house, townhouse, or second-hand property, you should:

✅ Hire a licensed civil engineer or appraiser to check:

Structural integrity (foundation, roof, walls)

Electrical and plumbing systems

Water source and drainage

Signs of termites, leaks, or illegal extensions

Validity of the Building Permit and Occupancy Permit

Inspection cost: ₱5,000–₱20,000 depending on property size and scope

5. Understand the Full Legal and Transfer Costs

When buying property, be prepared to pay more than just the selling price.

FeeWho PaysRate / Amount

Capital Gains Tax (CGT)Seller6% of selling price / zonal value

Documentary Stamp TaxBuyer1.5% of selling price

Transfer TaxBuyer0.5–0.75% (varies by LGU)

Registration FeeBuyer₱8,000–₱15,000

Notary FeeShared₱1,000–₱5,000+ depending on contract

➡️ Always budget an extra 8–10% of the total property value.

6. Buying Through Bank or Pag-IBIG Loan

If you're not paying in cash:

Get a Loan Pre-Approval

The property must have a clean title

It must pass the bank’s appraisal

Pag-IBIG and banks will charge processing and appraisal fees (₱3,000–₱10,000)

7. Avoid These Common Mistakes

❌ Buying property in someone else’s name (even family)
❌ Paying without notarized contracts
❌ Not verifying land ownership or tax status
❌ Ignoring building code violations
❌ Letting someone else decide everything while you're abroad

✅ Conclusion: Protect Your Sacrifice

OFWs often work decades for what they build. Don't lose it in one bad decision.
With the right legal steps, professional inspections, and clear documentation, your home can truly be the legacy you dreamed of.

Even from abroad — you can buy safely, legally, and with peace of mind.

Autor: Nils Deden