Overseas Investments Advice « High Yield Overseas Property Investments in Asia

Overseas Investments Advice

Your Overseas Condo Investment Advice

Condominiums are probably one of the most popular real estate properties today, if not the most popular. However, these properties are completely different from the usual types of real estate properties. Before jumping on the bandwagon and looking for your own condo, it’s a good idea to learn all about condominiums and some tips on buying one.

A condominium, otherwise known as a condo, is defined by Wikipedia as a “form of housing tenure and other real property where a specified part of a piece of real estate is individually owned while use of and access to common facilities in the piece such as hallways, heating system, elevators, exterior areas, are executed under legal rights associated with the individual ownership and controlled by the association of owners that jointly represent ownership of the whole piece”. This means that when buying a condo unit, you should actually be concerned not just with your individual unit but with the whole building. You should be concerned with the whole building’s foundation, plumbing system, and other structural and mechanical items.

Also, being a condo unit owner means that you have rights to other facilities of the condominium like swimming pool and gym. Make sure that the facilities you have rights to are in proper working condition. Before looking at any condo for sale Philippines, make sure you have a real estate attorney and a real estate broker to inform you of your legal rights and obligations.

Each condominium usually has a Condo Association By-Laws which covers all of the legal rules and regulations pertaining to a condo project. Make sure you understand what it contains. You should also learn all about renting your unit to someone else, or running a business from your condo. Although it might not be applicable to you, it would be good to know how it would apply to other owners in the building.

Other things you need to take note of are landscaping, garbage collection, recycling, emergency repairs, and use of common facilities. Also, be careful with condominium units that are still under construction because sometimes salespeople might inflate statements about facilities.

For affordable condo investments in the Philippines, please contact:

Daisy Guo
Chinese Interpreter
International Sales Coordinator
Online Marketing Officer

E-mail: ftrdcmarketing@gmail.com
Cell: (+63917) 462-1174
Skype & Yahoo! Messenger: daisy_guo_onlinemarketing
My website: http://www.cebucondoreview.co.cc
My wordpress: http://daisyguoonlinemarketing.wordpress.com

Fuente Triangle Realty Development Corp.
Ground Floor, Tower 2,
Fuente Towers, Osmeña Blvd.
Cebu City, 6000
Philippines

Real Estate agents across the globe to boost their income through condo hotel investment sales

Philippine Condotel Marketing Group Fuente Triangle Realty Development Corp. are taking advantage of the credit crunch by offering partnerships with real estate agents across the globe to boost their income through condo hotel investment sales.

Internet Marketing will drive the Philippine real estate market upwards says a leading real-estate Condotel marketing group and they poured cold water on speculations that the construction and real-estate sector in the Philippines is heading for a slump as they would be forced to increase their selling prices as a result of the current upward trend in the prices of steel and other major construction materials Hosting their weekly simultaneous web conference with international realtors and estate agents across North America, Australia and the UK on the topic “Effects of Global Construction Costs and the Philippines” the overseas marketing director of Philippine Condotel Marketing Group of Fuente Triangle reality development corp. said developers are forced to implement at least 20-percent increases in prices of preconstruction projects immediately and 15-percent over the next six months and this will have minimal effect on the industry in general and even less effect on the current market base for Condo Hotel investors.

If you know your trade and you are offering a good product “the market is here to stay so why rock the boat” they said, even as Philippine Condotel Marketing Group Fuente Triangle reality development corp. advised investors to become more astute in their choice of investments. “Common sense in today’s market dictates to look at the pricing trend of a preconstruction development; if the prices are the same today as they were 6 months ago chances are the project will suffer”.

“People have to realize that markets, especially in real estate, go in 10 year repetitive cycles. Compared to today’s situation, on world escalation in fuel and construction material costs, we have had far worse to contend with in the past two cycles the real-estate industry in the Philippines and South-East Asia in general, has experienced. It was by far worse times during the late ’80s and the devastating effects of the Asian financial crisis near the end of the ’90s with a very limited market base” said Philippine Condotel Marketing Group Fuente Triangle reality development corp.

With the arrival of the internet and communications technology, the whole world suddenly became our market in the Millennium. It is now a global market and with our Condo Hotel developments, sales volume from among near 10 million Filipinos abroad combined with foreign investors from Asia, Europe and the Middle East, remains on the increase.

In order to maintain sales momentum, current marketing trends simply have to change. If you compare the situation in the late ’80s to today, people forget the telex machine had just become redundant and communication was limited to sending a fax offer to buy real estate. A top of the line computer was Apple IIE. Cellular phones were few and far between and the internet was not even around. Ergo, Philippine real-estate investors were merely comprised of wealthy local Chinese businessmen.

During the late 90’s Asian Crisis, not many people used the internet. Now it’s 2008 and a very different ballgame. Today’s technology, unheard of 15 to 20 years ago, has for the most part contributed to sales and marketing efforts of developers and will continue to do so. It is the communication factor that will drive sales of Philippine real estate upwards through 2008 well into 2012 and beyond said Philippine Condotel Marketing Group Fuente Triangle reality development corp.

Now I receive daily calls and numerous emails from prospective buyers in Australia, Hawaii, New York, Doha, Dubai and the UK. I even get calls from clients located in Fiji and Mauritius. During the previous crisis years I didn’t get any. To maintain sales, its really a simple matter of being organized, having a great development to market with global appeal, an excellent developer, focus, mind set, intelligence, time, enthusiasm and dedication said Philippine Condotel Marketing Group Fuente Triangle reality development corp. whose company has been consistent top producer for the Crown Regincy Brand of Condotel Investments in the Philippines every year since 2000, to 2008.

Whilst some agents dwell on the number of Philippine properties bought by Filipinos based in the US has began to fall because of the credit crunch, it is a blow but not significant as there are new investment clients out there and we do not focus on the US as a sole marketplace for our sales said Philippine Condotel Marketing Group Fuente Triangle reality development corp.

“Global investors are looking to replace failed pension plans and other future saving schemes with a solid investment in real estate. Many are looking for investments that will give them an income for retirement. Savvy investors are now looking for a more solid investment with potential for monthly income and Philippine Condo Hotel investments are ideal because Philippine Hotel rates are the same if not more expensive than those in the US or Europe but the entry level to purchase real estate is only about 10% of what you would have to pay for a Studio in Manhattan” credit crunch or not they added.

There are also indications that the Russians may take up some of the slack. First-time Russian overseas buyers are now looking at South-East Asia and particularly the Philippines. Overseas property specialists based in the UK, have predicted sustained growth of at least 24% per annum in the Philippines, for the next 5 years.

Further fuelling real estate development is the fact the Philippines remains undiscovered as far as British and many European investors are concerned. Yet because of its close links to the US, English is widely spoken and it is well regarded for its people, affordable living, beaches and diving. It’s a whole new market enthused Philippine Condotel Marketing Group Fuente Triangle reality development corp. “Buying property here is easier than many people think and investment from overseas in tourism real estate is growing, especially in the resort areas of Cebu and Manila itself where rental potential is good”.

However, anyone considering Philippine Real Estate Investments should move at this moment and lock in at current price levels said Philippine Condotel Marketing Group Fuente Triangle reality development corp. Buyers whom reserve now can take advantage of current prices locked in for their units and see an immediate equity return on their investment said Philippine Condotel Marketing Group Fuente Triangle reality development corp.

Philippine Condotel Marketing Group Fuente Triangle reality development corp. are looking for qualified Realtors, Real Estate Agents or Brokers from the Philippines whom would like to travel abroad with proven Real Estate sales background and marketing skills to sell the Crown Regincy Brand of Philippine Condo Hotel Investments in the United States and Europe. Applicants must be willing to spend 1-3 months training and attend classes, and good rate of commission will be given to successful applicants.

Overseas Investment Advice

Who can buy property in the Philippines?

Those entitled to own property as fully-fledged Philippine citizens

·Philippine citizens who are residents of the Philippines

·Philippine citizens who are residents of another country or working overseas who maintain their Philippine citizenship

·Philippine dual citizens

Natural-born Philippine dual citizens (Those born with a Philippine and foreign citizenship as a result of the concurrent application of the laws of the Philippines and a foreign country which consider one a citizen of each country, e.g., those born to a Filipino and foreign parent).

Natural-born Philippine citizens who subsequently acquire foreign citizenshipinvoluntarily (i.e., without undergoing foreign naturalization, e.g., marrying a foreign national whose country automatically considers the Philippine spouse its own citizen) and who have not renounced their Philippine citizenship by any act or omission.

Natural-born Philippine citizens who voluntarily opted to acquire foreign citizenship but eventually chose to reacquire their natural-born Philippine citizenship status under the Philippine Citizenship Reacquisition Act of 2003 (Republic Act No. 9225), regardless of whether or not they have renounced their previous foreign citizenship.

There are no area limits on the ownership by Philippine citizens of non-agricultural private land. Private agricultural land acquisition must not exceed a combined total of 5 hectares (50,000 square meters).

·Philippine corporations whose capital stock is 60% Filipino-owned

There are no area limits on the ownership by Philippine corporations of non-agricultural private land. Philippine corporations may lease, but not own, public agricultural land not exceeding 1,000 hectares for two 25-year periods and own private agricultural land not exceeding a combined total of 5 hectares (50,000 square meters).

Those entitled to own property under limited conditions

·Natural-born Philippine citizens who voluntarily opted to acquire foreign citizenship through naturalization, thereby renouncing their Philippine citizenship, and who do not choose to reacquire Philippine citizenship

Unlike Philippine citizens, former Philippine citizens who are natural-born Filipinos* are only entitled to own either 5,000 square meters of urban land or 3 hectares (30,000 square meters) of rural land in the Philippines for business or other purposes. The land that may be acquired shall not be more than two parcels situated in different municipalities or cities anywhere in the Philippines and shall not exceed the stated area limitations. Anyone who has Already acquired urban land is disqualified from further acquiring rural land and vice versa. In the case of a married couple, the total land area that they are allowed to purchase cannot exceed the above-stated limitations.

·Foreign citizens and corporations

Foreign citizens and corporations may acquire and own condominium units where the common area is owned by a condominium corporation, 60% of which is Filipino-owned. They cannot directly acquire and own land in the Philippines except through intestate hereditary succession, i.e., inheritance by operation of Philippine laws on intestate succession and not by testate (through a will or testament) succession. They may, however, indirectly own land by subscribing to a Philippine corporation the capital stock of which is 60% Filipino-owned. They may also lease private land for a maximum of two 25-year periods.

Foreign citizens and corporations investing in the Philippines may lease private land for a 50-year period extendible for another 25 years.

A natural-born Philippine citizen is one who does not have to do anything to acquire Philippine citizenship, in contrast to a naturalized Philippine citizen who has to go through a naturalization process to acquire Philippine citizenship.

Those entitled to own property as fully-fledged Philippine citizens

· Philippine citizens who are residents of the Philippines

· Philippine citizens who are residents of another country or working overseas who maintain their Philippine citizenship

· Philippine dual citizens

Natural-born Philippine citizens who subsequently acquire foreign citizenship involuntarily (i.e., without undergoing foreign naturalization, e.g., marrying a foreign national whose country automatically considers the Philippine spouse its own citizen) and who have not renounced their Philippine citizenship by any act or omission.

· Philippine corporations whose capital stock is 60% Filipino-owned
There are no area limits on the ownership by Philippine corporations of non-agricultural private land. Philippine corporations may lease, but not own, public agricultural land not exceeding 1,000 hectares for two 25-year periods and own private agricultural land not exceeding a combined total of 5 hectares (50,000 square meters).

Those entitled to own property under limited conditions

· Natural-born Philippine citizens who voluntarily opted to acquire foreign citizenship through naturalization, thereby renouncing their Philippine citizenship, and who do not choose to reacquire Philippine citizenship

· Foreign citizens and corporations

Foreign citizens and corporations investing in the Philippines may lease private land for a 50-year period extendible for another 25 years.

I am a foreigner

How do I invest in the Philippines?

Foreigners may indirectly own land by investing in Philippine corporations registered with the SEC subject to the foreign equity restrictions for ownership of private land. Such Philippine corporations may then acquire the land for example, Ownership of Condominium Units.

Foreigners may indirectly own land by investing in Philippine corporations registered with the SEC subject to the foreign equity restrictions for ownership of private land. Such Philippine corporations may then acquire the land for example, Ownership of Condominium Units.

Can foreigners directly buy Philippines properties?

Unlike private land, foreign nationals and foreign corporations may directly own a condominium unit. However, the land on which the condominium building stands must be owned by the condominium corporation. When a person buys a condominium unit, he automatically becomes a member of the condominium corporation which owns the land. Under Philippine law, foreigners are allowed to become members or stockholders of the condominium corporation which owns the land, but only up to a maximum of 40% of the capital stock of the condominium corporation.

The transfer of a condominium unit shall include the transfer of the appurtenant membership or stockholding in the corporation. No transfer or conveyance of a condominium unit shall be valid if the concomitant transfer of the appurtenant membership or stockholding in the condominium corporation to a foreigner causes the alien interest in such corporation to exceed 40%.

Seeking to retire in the Philippines?

Foreigners intending to retire in the Philippines may apply for the Special Resident Retiree’s Visa (“SRRV”), a special non-immigrant visa issued by the Philippine Bureau of Immigration to foreigners through the retirement program of the Philippine Retirement Authority (“PRA”). For the SRRV to be issued, the PRA requires that a minimum investment shall be deposited in a PRA-accredited bank by the foreigner. It may only be withdrawn if the foreigner withdraws from the PRA retirement program. Once issued, the SRRV entitles its holder to multiple entry privileges with the option to reside permanently in the Philippines.

Other benefits under the retirement program include exemption from exit clearance and re-entry permits; exemption from customs duties and taxes for the importation of personal effects up to US$7,000; exemption from travel tax if the stay in the Philippines is less than a year from the last entry date; exemption from the Bureau of Immigration’s annual registration requirement; assistance in obtaining an Alien Employment Permit; tax-free remittance of annuities and pensions; and guaranteed repatriation of the investment. The minimum amount of investment required is generally US$75,000, if the foreigner is 35 to 49 years old, and US$50,000, if 50 years old and above. The minimum investment policy doesn’t only apply to foreigners, former Philippine citizens and former Ambassadors are required a minimum investment of US$1,500, while retired employees of the Asian Development Bank are required a minimum investment of US$25,000. The foregoing investment may, at the option of the foreigner, be converted to Philippine Pesos or into an approved area of investment such as investment in shares of Philippine corporations as above-discussed.

Those entitled to own property as fully-fledged Philippine citizens

·Philippine citizens who are residents of the Philippines

·Philippine citizens who are residents of another country or working overseas who maintain their Philippine citizenship

·Philippine dual citizens

·Philippine corporations whose capital stock is 60% Filipino-owned

Those entitled to own property under limited conditions

·Foreign citizens and corporations

Foreign citizens and corporations investing in the Philippines may lease private land for a 50-year period extendible for another 25 years.

Married to a Philippine National?

Yes. But the Title of the property will be named under the spouse who has a Philippine citizen status.

Foreign ownership – by succession?

Ownership of assets (whether shares of stock or real property) may also be transferred through donation or succession.

The transfer of property by succession is subject to estate tax at a rate based on the total value of the net estate. The net estate is the total gross estate of the decedent less allowable deductions. For purposes of computing the gross estate, the fair market value of real property transferred by succession shall be the higher of the zonal value or the market value under the Tax Declaration of the real property. The estate tax imposed under Philippine tax laws shall be credited with any estate tax that the estate of the non-resident decedent may have paid to the authority of a foreign country, subject to certain limitations.

Legal and Documentary Requirements

What documents or requirements do I need to purchase a property, secure finance and/or finalize a purchase.

The required document varies depending on the type of property you purchase and the sellers requirements. The following are some of the documents required to acquire a property on the website:

· Register with Global Pinoy Properties (simple online form)

· Register with e-propertytrading.com to buy any property available online(verification information)

· Reservation agreement form for non- auction properties and memorial plots (online form duly authorized with accurate details)

· 1% reservation deposit (doesn’t apply to auction properties) plus 10% exchange payment or as specified by the seller

· Buyer Information Sheet

· Housing and Land Use Regulatory Board Form (HLURB)

· Association Letter

· Life Form

· 1904 if TIN Number (if required)

· Additional Supplemental Agreement (If required)

· Bank Financing / Pag–ibig documents

· Credit Approval

· SPA (Special Power of Attorney)

· Signed computation sheet

After your reservation, there will be additional documents required by the seller to complete a finance application or your purchase.

Requirements for non- natural born Filipinos are as follows:

· Same as above plus-

· Photocopy of valid ID (preferably passport), containing spelling that is the same as Final Reservation Agreement and TIN validation

· Tax identification number validation (E-TIN or 1904/1903), containing spelling that is the same as the Final Reservation Agreement and passport/ID

· Photocopy of marriage contract (if applicable)

· SEC registration certificate, articles of incorporation and by laws(if purchasing in a corporation)

If paying Cash or you have secured finance supplied elsewhere (ie not the seller), you requirements are as follows:

· Some of the above plus

· Copy of Credit Approval or bank statement confirming cash balance for purchase or deposit

· 1% reservation deposit (doesn’t apply to auction properties) plus 10% exchange payment or what ever payment is agreed upon by the seller

· Balance of purchase price within 30 days, unless varied by the seller.

What is a Contract to Sell (CTS), Deed of Sale (DOS), Transfer Certificate of Title (TCT), Condominium Owner’s Copy of Certificate of Title (CCT), and a Tax Declaration?

· A Contract to Sell (CTS) is a contract document executed by both the seller and buyer where the seller promises and binds himself to sell to the buyer a certain property upon the occurrence of several conditions to be fulfilled by the buyer or both the seller and the buyer, the non-fulfillment of which releases both from their respective obligations under the terms of the contract. A contract to sell usually provides that title to and ownership of the property is not transferred to the buyer until full payment of the contract price.

· A Deed of Sale (DOS) Upon fulfillment of the sale-contract conditions, which is usually the full payment of the contract price, a DOS is executed by the seller unconditionally transferring to the buyer title to and ownership of the property which is usually specifically described in terms of technical descriptions as contained in the existing certificate of title to the property. A DOS is an absolute conveyance of title of ownership from the seller to the buyer, without reservations or conditions, and is primarily executed by the seller and accepted by the buyer. The DOS might also contain certain restrictions on the use of the property by the owner as contained in a subdivision mother title or declaration of restrictions previously recorded in the original or existing transfer certificate of title. In the case of condominium units, it is accompanied by a certificate of the management body of the condominium project that such conveyance or sale is in accordance with the provisions of the declaration of restrictions of such project.

· A Transfer of Certificate of Title (TCT) is an instrument issued by the Registrar of Deeds for the city or province where the land is located declaring the absolute ownership of a certain real property technically described therein. The TCT is prepared and executed by said Registrar and delivered to the buyer of the property as the new owner upon submission by the buyer of the DOS and payment of corresponding fees and taxes. It is an indefeasible and conclusive proof of absolute title to ownership of the property not only between the seller and the buyer but also between the buyer and the rest of the world. However, the TCT may also contain certain restrictions on the exercise of ownership rights passed on from the previous TCT or mother title or liens and other forms of encumbrances.

· A Condominium Owner’s Copy of Certificate of Title (CCT) is an instrument issued by the Registrar of Deeds for the city or province where the condominium project is located containing a brief description of the land, the condominium conveyed, and name and personal circumstances of the condominium owner. It is issued upon registration of the DO S conveying the condominium unit, payment of the proper fees, and annotation of the conveyance on the certificate of title covering the land included within the subdivision project. It is proof of title to and ownership of the condominium unit described therein.

· A Tax Declaration is a city or municipal receipt containing description of land where the real estate tax of which has been paid under the name of the payor who may or may not have title to or ownership of the land being declared. It is a mere proof of possession of the land by the payer and not of ownership. It is not a title or certificate of ownership.

Are there any additional expenses or fees due to be paid when I purchase a property in the Philippines?

In addition to the purchase price, you need to pay the taxes due on the sale and other registration fees. Upon transfer of condominium unit, townhouse or residential house to you, you may be charged association or condominium dues by the homeowner’s association or condominium corporation, typically based on the area of your property.

What are the applicable taxes and fees that I have to pay?

Value-added Tax

Except for sale of residential lots with gross selling price below P1,500,000, or of residential dwellings with gross selling price below P2,500,000, the sale of real property will include a value added tax (VAT) at the rate of 12% of the purchase price, zonal value of market value under the Tax Declaration of the property, whichever is higher, payable on each sale of real property to the BIR.

Documentary Stamp Tax

Documentary Stamp Tax at the rate of 1.5% of the purchase price, zonal values, or the market values under the Tax Declaration of the property, whichever is higher, is payable to the BIR within ten (10) days after the close of the month when the DOS is signed and notarized.

Local Transfer Tax

Local transfer tax is imposed by the local government unit where the property is located generally at the rate of 0.5% of the purchase price, zonal value, or TD value of the property, whichever is higher.

Registration fees are payable to the Register of Deeds where the property is located at the rate of P8,796.00 for the first P1.7million plus P90.00 for every P20, 000.00 or fraction thereof in excess of P1.7 million.

How much is a typical Association Fee?

Association fees are not standardized but are typically based on the area of your property. We recommend that you check the cost with the individual sellers. Ownership of assets (whether shares of stock or real property) may also be transferred through donation or succession.

The transfer of property by succession is subject to estate tax at a rate based on the total value of the net estate. The net estate is the total gross estate of the decedent less allowable deductions. For purposes of computing the gross estate, the fair market value of real property transferred by succession shall be the higher of the zonal value or the market value under the Tax Declaration of the real property. The estate tax imposed under Philippine tax laws shall be credited with any estate tax that the estate of the non-resident decedentmay have paid to the authority of a foreign country, subject to certain limitations.

Post Purchase FAQ

How quickly can I take possession of my Philippines property?

You can take physical possession of your house, lot, or condominium once the following steps have been completed:

· Acceptance Form has been signed (unless the property is otherwise deemed accepted).

· All required documents pertinent to the sale of the property (i.e. Contract to Sell, Deed of Sale, corporate papers, etc.) have been signed and submitted.

· All amounts due under the Contract, including reimbursement for advance payment of service fees for the utility connections, have been paid.

Who should I contact for the final hand over of the property in the Philippines?

Contact the seller of your property.

Condos As Investments

By Andy Asbury Platinum Quality Author

http://ezinearticles.com/?Condos-As-Investments&id=633873

It is hard to think of a property that is more ideal for investments than condos. When looked at in comparison to a single family home in terms of cost to maintain and upkeep, there is really no comparison. While condos do have a certain number of costs associated with ownership, it seems paltry when compared to the weekly upkeep, property taxes and utilities of a larger home. Now, understandably some of these things would fall to the tenants to take care of, but there are still things like yearly property tax, minor fixes and maintenance of things like the roof, fences, plumbing and electrical systems. In a condo these things are all taken care of via the monthly condo fees and are seen to by the owner’s association.

There is another aspect to condos that have helped them to become one of the best investments going. That fact is the popularity of condos and the huge call for them. It seems that all across the country that condos are going up faster than they can be sold. Most new developments are sold out long before they are completed. The skyline of most major cities has changed drastically over the past few years with new high-rise complexes going up in every available space. Not only are these condos changing the way we live in an urban setting, but they are bringing much more to the bargaining table then ever before. Condos have really developed into a whole new lifestyle option for home buyers. With spas, fitness clubs, meeting rooms and many other assets; condos have solidified their place as one of the best housing deals going.

Another nice selling point of condos is the fact that they have a lower entry cost than most single family homes. Homes are costing more and more as the price of living increases.

Many condos start around the $100K mark and it is possible to find conversions for even lower prices. Conversions are becoming one of the most sought-after investments by investors who are in the know. These condos offer great value and an attractive price. They may not have all of the valuable extras that the new complexes can offer but in terms of a great place to live they fit the bill quite nicely. If you are looking for a great investment or just a great home, be sure to check out what the local condo market has to offer!

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

You must be logged in to post a comment.

High Yield Overseas Property Investments in Asia

Overseas Investments Advice

Your Overseas Condo Investment Advice