Skip to main content

Must Know If You Are Planning to Own Agricultural Land in the Philippines

If you are planning to buy an agricultural land especially riceland in the Philippines, here are the things that you have to watch out for:

1. Know if the land is irrigated or not.

    If it is irrigated:

    a. Know if the irrigation fees has been paid by the seller. Irrigation system is considered a permanent improvement in the land. Therefore, it is the owner who should pay for the fees. This means that absent agreement between the landowner and tenant, the obligation to pay for the irrigation fees belongs to the owner;
    b. It is non-negotiable for conversion or it is prohibited from being turned from agricultural use to some other use, say, from agricultural to commercial;
    c.   It produces more compared to rain-fed riceland;

2.   Know if it is tenanted. This is important because tenants of an agricultural land under leasehold contract is protected under the law, specifically RA 3844. They have a security of tenure which will not be affected despite changes in the personality of the landowner. You cannot stop a tenant from cultivating the land on the ground that you will be personally cultivating it or have it cultivated by someone of your own choosing. The best thing to do is to talk it out with the tenant or ask the intervention of the concerned government agency. 

Forcibly ousting a tenant out will have dire consequences especially if the government intervenes and most probably, they will through the Department of Agrarian Reform. This holds true for tenant with or without a contract as long as implied tenancy is clearly established by evidence.

3.   Check if the title is an Emancipation Patent or Certificate of Land Ownership Award. These two kinds of title were issued under a government program to farmer-beneficiaries. It has attached conditions such as prohibition to transfer subject land for a period of ten years or that it is prohibited to be sold or owned by a corporation due to attached condition that personal cultivation is required (Panlilio vs Dizon, GR No. 148777, October 18, 2007).



Moreover, the said titles have more stringent requirements compared to regularly issued title like those issued under the Torrens system.

4.   That you and/or your spouse cannot own more than five hectares of agricultural land in the Philippines. If you exceed five hectares, the transaction is disallowed or deemed contrary to law or the excess may be covered by concerned government agency under an existing government program to distribute land to the landless.


Buying property in the Philippines requires due diligence. One should examine the contents of the title and the annotations contained in it. It is also highly recommended to visit the actual site for pragmatic reasons. 


Popular posts from this blog

How To Terminate Leasehold Tenancy Relationship on Agricultural Property

Pursuant to RA 3844, a tenant of an agricultural land has a security of tenure. Meaning, he cannot be ejected outside those grounds provided under the law. His right to cultivate the land can be passed on to qualified immediate family members. Once established, expressly or impliedly, this seemingly infinite right of the tenant to hold and cultivate a landowner's agricultural land can be problematic to those who want to sell the land, change tenants or to those landowners who want to handle production by themselves.  Under the law, there are three instances tenancy may be dissolved or extinguished: 1. By court order; 2. By voluntary surrender of landholding in favor of the landlord; 3. By absence of immediate family member to continue cultivation in case of permanent disability, old age or death of the tenant. Outside the said three instances, a tenant may not be legally ousted from his cultivation of the land. Some landowners would complain to the concerned ...

Small Claims: Faster Way to Collect Money?

One consideration in filing a collection case against somebody is the amount of money owed to you. But kudos to the Supreme Court for passing the 2016 Revised Rules of Procedure for Small Claims Cases. Without it, it was impractical to file a suit for collection especially if it involves a measly 4 to 5 figures before. Say, you loaned P20,000 to B. B defaulted in paying. It would be impractical to hire a lawyer to collect the indebtedness from B considering that a lawyer's retainer would usually cost you P20,000 also. Instead of getting back the money, you will find yourself losing some more on account of hiring a lawyer and the cost of litigation. With the Rules on Small Claims Cases, this immensely helped ordinary Juans to easily collect money because it specifically does not allow representation by a lawyer.  All you have to do is to download a readily available form online (just make sure it is the 2016 format) or ask for some forms with the MTC, fill it up, attach the sup...

Land Conversion

The latest trend in the market today is investing in real property. This has become more apparent when San Miguel Corporation expanded its operation to include real property development. Probably taking hint on this active market, even small companies are now fighting for a piece of the market action by acquiring properties and developing it into resorts, buildings, and residential homes. Most of the properties being developed by these companies are agricultural lands. In the Philippines, conversion of agricultural lands to some other use such as commercial, residential, or industrial is regulated under the law. The primary purpose of which is maintain food security. Most companies are unaware of this. Such ignorance comes with a price if the government agency concerned enters its appearance to enforce the law. Failure to comply with the law on land use conversion may result to criminal and administrative cases, forfeiture and fines may be imposed, and/or cease and desist of op...