Executive order number 648 s. (1981) stated that the REGULATORY COMMITTEE ON HOUSING AND EARTH USE (HLURB) is a planning, regulatory and quasi-judicial tool of the government in land use development.
Presidential Decree. 957 - Regulation of the sale of lots and condominiums of units providing for penalties for their violation What can be done when the buyer finds out that the size of the lot in the Restraints Act and the sales contract that he originally signed does not correspond to what is indicated in the title? If the sale is made per square meter, and the area is less, the buyer has the right to reduce the price. Similarly, the area is larger, the buyer must pay for the increase in area.
In another case, the buyer may withdraw from the contract if he knew about the difference in the area.
Where a potential buyer can check whether the project has a registration certificate and a license to sell He can verify this with the HLURB Regional Office, which has jurisdiction over where the project is located.
Address:
HLURB Bldg., Kalayan Avenue cor. St. Mayaman, Diliman Quezon City 1101, Philippines
Tel.Nos.:(632)927-2723, (632) 9243378
E-mail: esg@hlurb.gov.ph
Leader: Wilfredo I. Imperial
E-mail: wii@hlurb.gov.ph
Can developer’s employees charge homeowners with fees or charges for the maintenance and safety of the unit? No, because membership fees or charges for the maintenance and safety of a unit can only be collected by an organization organized by the Association of Homeowners, with the consent of a large party or buyers of units actually living in a unit project (Section 27 PD 957)
What is the means from the buyer to refund his payment, knowing that the owner / developer of the unit / condominium does not have a license to sell? He may request the seller to refund the amount he has already paid by filling out a complaint with HLURB. It can take a long process, and because of the rampant bureaucracy, it can take a long time. Please ensure that you have the original receipts and valid documents, because you will need to send them.
The Filipino couple, whom I know from London, paid P200,000 (the equivalent of £ 2,000) to a developer who promised that he would be able to move after paying the required amount. They considered an agent. The couple went to the Philippines, excited and spent a huge amount on everything; only to report that the property is not ready yet, and they need to wait up to 4 months. The only thing they see is only the area of the site where the house will be built.
I can not draw their disappointment!
The Philippines are not very good at fighting for justice. They are very passive in matters. This couple decided to just forget the money they had already spent, and just decided to buy another property from a private seller.
They could sue the developer for the wrong sale and demanded a full refund.
What is the responsibility of the owner of the unit if he sold the lots of the unit without a license to sell? What is the effect of the sale? The sale is valid, but the owner may pay an administrative penalty for unauthorized sale. While the buyer may cancel the contract and demand a refund or continue the sale.
Easier said than done. Many developers hide the real value of the property purchase, and they also require a higher booking fee, which is non-refundable. I always recommend to investors and buyers to make sure that the developer with whom they deal is recognized at the national level, approved by the government and has a good, strong track record. Ownership gives a sense of ownership and pride, but it can also bring torture and stress if not handled properly.
Is advance sale permitted? Yes and no. Yes, if the pre-sale is carried out during the construction of the object, but only if they have a license to do so. Some “smart” agents and brokers make the so-called “soft sale” of their project to the public before issuing the Registration Certificate and the sale license, which is a violation of PD 957. Therefore, if the agent tells you that they are “pre-sale”, they are afraid. Ask if they are issued a Certificate or Registration, and that they are licensed to sell, or you can easily get colorful brochures and sales talks.
