The Department of Human Settlements and Urban Development (DHSUD) on Friday warned the public against housing projects without license to sell.
“Real-estate projects without license to sell and certificates of registration are prone to risks which include undersized lots, low quality units, issues in land titling, and limited access to basic utilities and services,” Housing Secretary Jose Rizalino Acuzar said.
“We encourage home buyers to be vigilant, and demand for these documents before letting go of their hard-earned money,” he added.
Acuzar cited the risk of falling victims to unscrupulous individuals or groups and acquiring sub-standard real estate property.
He lamented that there were rampant real estate advertisements posted on social media, which had become the most convenient platform for non-compliant developers to pull off their illegal activities and victimized unsuspecting buyers.
Real-estate developers must secure LS and CR from DHSUD prior to the selling of real estate projects to ensure that it passed the minimum standards as required by the law. Rio N. Araja
DHSUD through its Public Assistance Service has been pro-actively reminding the public against scammers in the real-estate industry through social media posts and media releases, Acuzar stressed.
It has crafted its DREAM (Demand, Read, Engage, Ask and Move) Tips -– an easy to remember acronym on what to do when buying real estate property.
Its Housing and Real Estate Development Bureau said real-estate projects that require LS/CR from DHSUD included subdivision lots, house and lot, condominium units, socialized housing and townhouses.
Selling of memorial lots, colombarium, farm lot subdivision, commercial subdivision and industrial subdivision is also being regulated by DHSUD under other types of real-property projects.
Acuzar vowed to improve the implementation and monitoring of existing regulations set by DHSUD in partnership with other government agencies concerned to protect home buyers.
Under Presidential Decree 957, selling without LS/CR is punishable with stiff administrative fines and is considered a penal offense subject to the filing of appropriate criminal charges.