P493M set aside for socialized housing in Central Visayas this year: HLURB 7

• Share On FacebookShare On MyspaceShare On StumbleuponShare On DiggShare On EmailShare On Print|Share On Facebook_likeMore|

By Mia A. Aznar

Wednesday, October 10, 2012

OUT of billions worth of housing projects in the Central Visayas area, some P493 million has been allocated for socialized housing this year. And out of several project locations, only three are for socialized housing, two of which are in Cebu.

Data from the Housing and Land Use Regulatory Board (HLURB) 7 show that of all projects that have been granted certificates of registration and licenses to sell for January to September this year, projects for socialized housing, or units under P400,000, are the lowest in number and project cost. There are 327 socialized house and lot packages being sold in Lapu-Lapu City and 100 lot-only packages being sold in Bogo City.

Check our new look and tell us what you think.

Still, the project cost is higher compared to the total project cost for this housing category last year, which was at P237 million. However, there were six projects, five of which were in Cebu.

Residential condominiums have a total project cost of P2.63 billion with a total 3,410 units. All 10 condominium projects are in Cebu, nine of which are in Cebu City while one is in Mandaue City.

For the whole of 2011, 12 condominium projects reached P2.6 billion with 749 units.

Open market projects rank second in project cost, with P1.82 billion. Out of 17 open market projects, 11 are being developed in Cebu. There are 603 house and lot units and 529 lot-only packages.

Last year, 20 open market projects cost a total of P957 million, 122 of which were house and lot units and 2,227 were lots.

Economic housing projects, or units for less than P3 million, number about eight in the region, six of which are in Cebu. Total project cost reached P1.086 billion, with house and lot units numbering 428. There are only 50 lot-only packages in this category.

From January to December 2011, all 15 economic housing projects cost P453 million for 521 house and lot units and 393 lots.

Engineer Roy Lopez, HLURB 7 director, said that since he became director, he made sure all housing developers selling units over P400,000 have complied with the law requiring them to provide 20 percent of their gross land area or project cost for socialized housing.

He admitted that since raw land in Cebu costs high, most developers opt to leave 20 percent of their project cost for this requirement, rather than look for land to develop for this segment.

He assured that they do not issue a license to sell until the developer can provide proof such as subdivision plans that they are complying with the requirement.

Aside from Cebu’s bustling economy, he believes development in this area is quick because he made it a policy to approve projects within 21 days upon filing of complete requirements. He added that no other office in the region has made the same guarantees.

When in Cebu City, please visit gregmelep.com for your real estate and retirement needs.

Published in the Sun.Star Cebu newspaper on October 11, 2012.

RE loan ceiling may tighten

Published on Thursday, 11 October 2012

Written by Jun Vallecera / Reporter

THE 20-percent ceiling on bank loans to the real-estate sector may be recalibrated and tightened at some point forward should an ongoing evaluation merit such adjustment, the Bangko Sentral ng Pilipinas (BSP) said late on Wednesday.

At the 38th annual gathering of members of the Philippine Business Conference at the Manila Hotel, BSP Deputy Governor Nestor A. Espenilla Jr. emphasized the 20-percent limit still hold, but that banks and financial institutions have been asked to report on these activities more extensively now than had been done in the past.

“For now the composition stays. What the BSP has done is ask banks to report more, in effect report all of their real-estate transactions including those to individuals. But that does not mean that’s inside the ceiling. We have not yet touched the ceiling,” Espenilla said.

The increased vigilance, he said, recognizes the key role played by real-estate lending in past banking crises that troubled not just individual economies but entire regions.

“Our objective right now is to have an accurate picture as to what extent in totality our banks—thrift, commercial and banking groups—are exposed to real estate. We will begin to get that data starting end of this year,” the deputy governor said.

Once the regulators obtain a better handle of what is going on in the sector, they will then be in position to decide whether macro prudential measures are required to correct the anomalies or imbalances, Espenilla said.

“These are all policy instruments of the BSP. We cannot rule out those things. But we need to also communicate our policy measures properly. Based on what we see, then we have to craft the appropriate policy. Remember, we have to balance because the economy needs to grow and the real estate is a legitimate investment area. We do not really want to suppress it necessarily,” Espenilla said.

How the ratio is calculated in relation to any bank’s loan portfolio may be redefined in response to findings expected when all bank data shall have been analyzed, he said.

“There are many ways to do it. We can redefine [how] the formula is calculated for one thing because right now it is the limit on the total loan portfolio for certain real-estate items. So there are options on how we can change that if necessary. I emphasize ‘if necessary,’” Espenilla said.

Previously, BSP Governor Amando M. Tetangco Jr. said the 20-percent real-estate limit under current regulations does not merely involve the outright exposure in relation to the total loan portfolio.

“The amount of the real-estate portfolio is adjusted based on long standing guidelines. For example, low-cost housing loans are taken out for purposes of the calculation. Under the adjusted calculation, we remain inside the 20-percent limit,” Tetangco said.

There had been recent guidelines issued by the Monetary Board in recent months “revisiting both the calculation and the data submission of banks...as proactive move that enables the BSP to align the limits to risk capital while providing for a more comprehensive view or real-estate financing,” Tetangco said.

When in Cebu City, please visit gregmelep.com for your real estate and retirement needs. 

Condominium ownership rights

By Raul J. Palabrica Jr.

1:04 am | Friday, October 5th, 2012

Share on facebook_likeShareTweet

30

No doubt about it, the country is experiencing a construction boom in commercial and residential projects.

The skyline in the business districts of Metro Manila and other urban centers has undergone major changes in the past two years.

Several old structures in the metropolis have been gutted down to make way for buildings that, in the words of their developers, are environment-friendly. “Green” has become part of the domestic real estate lingo.

In the process, the broadsheets are enjoying full-page advertisements on high-rise buildings that are about to be constructed, have been topped off, inaugurated or ready for occupancy by interested buyers.

Underused or idle lots in prime locations that are fit for commercial, residential or mixed-use purposes are in the crosshairs of enterprising construction companies.

The building frenzy has spread to the housing sector. The country’s iconic real estate developers have shifted their sights from the traditional high-end residences to middle-class and mass-housing projects.

The surge in construction indicates a strong demand for commercial and housing units that need to be filled up, a challenge that real estate developers with deep pockets are willing to risk their money on.

Citizenship

The question of who can buy or acquire real property was the subject of a recent query to the Securities and Exchange Commission by a company behind some of the biggest construction projects in Metro Manila.

The company wanted to know whether a private corporation, whose shares of stocks are 99.95-percent owned by foreigners, can legally purchase real property in the country.

The issue calls for an interpretation of the constitutional provision that states “save in cases of hereditary succession, no private lands shall be transferred or conveyed except to individuals, corporations or associations qualified to acquire or hold lands of the public domain.”

Read in relation to Commonwealth Act 141, which uses the percentage of Filipino ownership in a corporation as criterion in determining its nationality, the SEC stated that for a corporation to be able to purchase, acquire or own land in our country, it is essential that “at least 60 percent of the total capital stock of the corporation must be wholly owned by Filipino citizens.”

Thus, if more than 40 percent of that corporation’s capital stock is owned by foreigners, it is barred from acquiring land in the country.

The SEC, however, pointed out that, for other forms of real property, outside of land, such as houses or buildings, foreigners can, as a general rule, purchase them unless a law specifically prohibits them from doing so.

Ownership

To illustrate this point, the SEC cited the rules applicable on the ownership of an interest in a building or condominium project by persons other than Filipino citizens.

Such interest may be “in the form of ownership, lease or any other real rights.”

A foreign person or non-Philippine corporation—i.e., foreigners own more than 40 percent of its capital stock—can own an interest in a condominium project depending on the nationality of the person or entity that owns the land on which it is constructed.

If the condominium building, whether commercial or residential, is built on leased land, “the corresponding condominium corporation may be established by a corporation which is wholly owned by a foreign firm.”

In case the land is owned by a Filipino condominium corporation, no interest in the condominium may be transferred to foreigners or corporations whose capital stock is owned in excess of 40 percent by foreigners or non-Filipino citizens.

In the same token, if the common areas in a condominium project are held or owned by a Filipino condominium corporation, the transfer of units in the project may be made “only up to the point where the concomitant transfer of stockholdings in the condominium corporation” would not cause the foreign interest in the corporation to exceed 40 percent of its capital stock.

Although the SEC did not state the consequences of violation of the nationality rules on the ownership of real property in the country, it is noteworthy to mention that, under existing laws, that infraction could lead to the forfeiture of the unlawfully acquired property without the benefit of restitution of whatever money that may have been paid and, worse, prosecution of the parties who participated in the commission of the prohibited act.

When in Cebu City, please visit gregmelep.com for your real estate and retirement needs.

(For feedback, write to rpalabrica@inquirer.com.ph.)

Life Tips #1: Selecting a Pre-selling Condo/Condominium in the Philippines

Life Tips #1: Selecting a Pre-selling Condo/Condominium in the Philippines

Some things to consider that you may not realize when get a pre-sold condo/property by Jomar Hilario


1. Preselling mean the condo has not been built yet. That's why the price is cheaper. 


2. This also means you're not sure if they'll ever make the building according to plan.


3. That why you should select a large developer and not one you've never heard of or a tiny one in the provinces.  My family lost 100,000 because we invested in a tiny developer.


4. The easiest way to see if the developer is "big" is to checkout their financial statements ONLINE - if they're a public company.  Click here for an example.


5. Public means they're listed in the Philippine Stock Market


6. So open a newspaper and go to the Finance News and look under "Property"


7. Those are the biggest developers (who are public or "listed") in the country.


8. If the developer is not there, they're "private" so you may have to ask them directly - by going to their offices (really!) what their OTHER projects are. Yes, this article was created by Jomar Hilario and if ever you intend to copy this my name is included please.


9. If they have very small projects and you're buying a small project (Meaning: condo building) also  -- that's probably okay.


10. If they have school buildings and you're buying a condo --think TWICE and do it again. Answer this: if the real estate industry goes "down" (again), will this company have the money to still create your building?


11. Never ever deal with a person who says he's an "agent" . Only deal with Licensed Brokers.


12. Licensed Brokers typically know more information than you need than a "agent" - who's probably only after the commission and may ignore your requests.


13. I've dealt with 2 agents (one who simply resigned w/o letting me know) and their boss (who probably isn't a broker) and they all behaved the same: They never call back. They ignore your requests. They answer in the strangest way possible to avoid your questions. Yes, I've already reported them to their own bosses - and to the public via Twitter.


14. Document every dealing with the licensed broker by taking pictures using your cellphone or digicam of each meeting and document (a 2 megapixel phonecam is good). Keep everyone honest.


15. Never think that you'll stay in this one place forever - since its a condo and it's difficult to "add more space/floors" when your family grows. So always consider it's location, location, location. 


16. If it's located in place or near a place with lots of offices (large commercial areas) then the location is good for starters.


17. So when you move out to your permanent place (a larger condo, a single detached house in a nice subdivision) it's easier to rent out your "old" condo.

When in Cebu city, please visit gregmelep.com for your real estate and retirement needs.

Photo by http://www.flickr.com/photos/adforce1/

Don't Rush Into A Landlord Tenant Agreement

By Derek Huff

Ads by Google

Ask a Lawyer Online Now Law.JustAnswer.com A Lawyer Will Answer in Minutes! Questions Answered Every 9 Seconds.

Hyderabad Vacation www.swansuites.com Best Vacation in Hyd'bad 9642244000 Save upto 50% on Hotel Bill!

Agoda - Hotels worldwide Agoda.com/Hotels Last minute offers (even same day!) lowest rates, check availability!

I recently moved out of my parents' home and finally had a place to call my own. Becoming a homeowner and renting my first apartment was both rewarding and extremely stressful. However, after a few months things went bad fast when my landlord was trying to get me evicted from the premises. I was always in such a rush to get away from my parents but during this ordeal I wanted nothing more than to move right back in to my childhood bedroom. I hope my knowledge of these issues will help you from repeating my mistakes and will lead you to a better renting experience.

I have been saving for several years to have enough money to be able to live on my own for at least a few months. Shortly after my 25th birthday I had enough and decided to look for a nice place to lay my head and to keep me away from my annoying parents. I found a great place that was even closer to my job than my parents house. I was ecstatic, and I was never more ready to live on my own than that day. I signed all the papers and began moving into my new home.

Shortly after my second successful month of living in my new place my landlord began to get under my skin and supposedly I was getting under his. Every other weekend I would have causal get togethers with some close friends and shared drinks and good times with each other. My landlord told me that if I kept having "loud" parties like I did, I would be kicked out of my place. After this happened on two separate occasions I reached out to my fellow tenants to see if I was causing them any inconveniences. All of my neighbors told me that they never heard any sounds or that I did anything else to be a disturbance in the building. This made me realize that my landlord had it out for me. I know I did come late many nights and had small parties in my place but that is no reason to get me evicted from my place.

The Monday after that I had what would be my last party, my landlord posted an eviction notice on my door. My stomached dropped and I had no idea what I was going to do. I called my father right away and he was furious, he told me to call a landlord tenant attorney immediately because my landlord was probably breaking the law.

My attorney informed me that there are two different types of evictions, hold-over and non-payment evictions. A non-payment eviction is used when a tenant fails to pay his or her's rent. My landlord was going to use a hold-over eviction which is used for other reasons. In my case it was because I was causing a "disturbance".

After meeting with my attorney and discusses the terms of the lease he let me know that I would have to leave my place. It really made me mad but it was in the lease that my landlord could remove me. In all my haste to move into my own place I didn't take the time to properly read through the lease agreement and make sure there wasn't anything ridiculous in it. Had I have done that I would still be in my apartment, not stuck trying to find a new one.

When you finally decide to move into your first apartment take them time to do your homework. Make sure to speak with an experienced landlord tenant lawyer to assist you in your case.

When in Cebu City, Philippines please visit gregmelep.com for your retirement and real estate needs.

Article Source: http://EzineArticles.com/?expert=Derek_Huff

Top officer divests from ProHomes to focus on own real estate company

By Katlene O. CachoTuesday, October 2, 2012

A TOP official of a real estate company has divested from ProHomes Development Inc., (ProHomes) to pursue her own business.

“I have decided to opt for full divestment of my interest with ProHomes so that I can consolidate and strengthen Contempo and steer it on its own,” Contempo Holdings Inc. president and chief executive officer Beverly Dayanan said Monday.

Dayanan partly owned ProHomes. She was ProHomes president and chief executive officer and has been with the company for five years. Dayanan is said to be responsible for delivering almost 3,000 housing units during her stint.

She gave up her full control of ProHomes last Sept. 28.

Dayanan now runs her real estate holding , firm, Contempo Property Holdings Inc., which has an authorized capital stock of P100 million and was registered with the Securities and Exchange Commission last February.

She told reporters the business move was meant to strengthen the entry of Contempo in the market, which is positioned to address the demand of the middle-income condominium and economic housing sectors.

“We found huge opportunities in these segments as these are currently underserved markets,” she said.

Dayanan is optimistic about the country’s real estate industry saying that there are still gaps that needed to be filled especially in the low to middle-income market segments.

Contempo’s flagship project is the P1-billion one-hectare condominium development on H. Cortes Street in Mandaue City. It will have three residential condo towers with close to 800 condo units, priced within the range of P1.5 million to P1.8 million.

The project will be launched before the year end.

Dayanan also said her company will also venture into economic and socialized housing development, noting the huge housing backlog of Cebu at 200,000 units.

Contempo will officially launch the company that will handle horizontal projects by the second quarter in 2013.

When in Cebu City, please visit gregmelep.com for a more comprehensive real estate deals.

Published in the Sun.Star Cebu newspaper on October 03, 2012.