Overseas Filipinos often ask and wonder about the so-called “50-year-myth” where condominium units are only owned during that particular period of time, as opposed to house and lot which is owned for life.
Ayala Land International Sales Inc. Regional Head Manuel Arbues II explained that this myth stems from a measure from the Philippines’ Securities and Exchange Commission (SEC) which limits the lifespan of corporations to 50 years. Each condo unit owner holds a share of the building where their condo is situated, forming a part of a ‘corporation’.
“Sinasabi nila ang buhay daw ng isang condominium, 50 years lang. After 50 years, hindi mo na pag-ma-may-ari. Yung 50 years, nakadikit yan sa lifespan o buhay ng isang korporasyon. According to the Securities and Exchange Commission, ang isang korporasyon nag-e-exist lang siya for 50 years unless i-re-renew siya,” explained Arbues.
Arbues stated that the owners of the condo units within these buildings do in fact, own the condo for life since they can decide to continue living within these units – which OFWs can even pass on as inheritance to their children and relatives.
“So yung pag-ma-may-ari mo doon sa condominium unit mo, perpetual yan. Pwedeng ipamana sa mga anak mo, pwede mong ipamana sa mga kamag-anak mo, pwedeng mo rin siyang ibenta. Habambuhay mong pag-aari iyan, pareha lang sa lupa o bahay at lupa,” said Arbues.
He also explained that if and when the time comes that the property reaches 50 years, Filipinos may still continue to live within their condo homes.
“Papaano ngayon kung 50 years na yung condominiium, pwede na kayong mag-decide kung structurally sound naman yung condominium, maayos naman siya wala namang sira, pwede pang tuloy-tuloy siya na tirahan,” said Arbues.
Meet Ayala Land International Inc. at the 8th Philippine Property and Investment Exhibition (PPIE) on 5-6 November 2022 at Crowne Plaza Hotel in Sheikh Zayed Dubai. Ayala Land International Inc. is a silver sponsor exhibitor of PPIE, the biggest, longest-running and most trusted Philippine business and investment forum in the Middle East, now on its eighth edition.
The past seven PPIE editions made history in the UAE and the Gulf region by bringing in over 24,500 quality visitors.
