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Manila Rental Property: 8 Things You Need to Know About Ready for Occupancy (RFO) Properties in Manila

  • bedandgoinc
  • 2 日前
  • 読了時間: 5分

May 2, 2025


Manila, the bustling heart of the Philippines, offers a dynamic blend of rich culture, modern living, and endless opportunities. For foreign investors and expatriates looking to settle in the city, Ready for Occupancy (RFO) properties provide a hassle-free option to move into their new home or investment. But what exactly are RFO properties, and why are they gaining popularity among foreign buyers? Here's everything you need to know.



1. What Are Ready for Occupancy (RFO) Properties?


Ready for Occupancy (RFO) properties are newly completed or nearly completed residential units that are available for immediate move-in. Unlike pre-selling units, which may take years to finish, RFOs allow you to bypass the waiting game and start living or renting out the property right away. These properties come fully constructed and usually include basic finishes like flooring, cabinetry, and essential fittings. For foreign investors, this means that once the transaction is completed, you can start using the property immediately.


RFO properties are an excellent choice for those who want to avoid delays and move into a well-constructed space without waiting for the development project to be completed. Whether you're looking for a condo in Makati or a luxurious high-rise in Bonifacio Global City (BGC), RFO properties can be the perfect fit for your needs.


2. Why Choose an RFO Property in Manila?


There are several compelling reasons why foreign buyers should consider RFO properties in Manila:


  • Immediate Possession: You can move into your new home or start generating rental income right away.

  • Lower Risk: With RFO properties, you can inspect the unit's quality before committing, reducing the risk of construction delays or poor workmanship.

  • Prime Locations: Many RFO units are located in prime real estate areas like BGC, Makati, and Ortigas, giving you easy access to business districts, restaurants, malls, and entertainment hubs.

  • Perfect for Renters: RFO units are popular among expats looking for immediate housing, making them an ideal choice if you plan to rent out the property.


For foreign investors looking for an immediate return on investment, RFO properties are an attractive option due to the ease of renting them out to a steady pool of potential tenants.


3. The Process of Buying an RFO Property as a Foreigner


As a foreigner, the process of purchasing an RFO property in Manila is straightforward but comes with certain legal guidelines. The first step is to find a licensed real estate agent or broker who specializes in foreign transactions. They will guide you through the legalities and help you understand the property laws in the Philippines.


Foreigners are allowed to purchase condominium units in the Philippines, provided that foreign ownership in a building does not exceed 40%. This means that the other 60% of the building must be owned by Filipino citizens. However, this rule does not apply to RFO properties as long as you are buying a condo unit and not the land it's built on. Once the property is selected, you'll need to secure financing, either through a bank loan (if eligible) or by paying in full.



4. Legal and Financial Considerations


When buying an RFO property, you'll need to consider the following:


  • Title Transfer Process: Ensure that the title of the property is clear and free of any encumbrances. Your legal advisor will help verify this before the transaction.

  • Financing Options: Foreign buyers may have limited access to financing, but several banks in the Philippines offer mortgage loans to foreigners. You may also choose to pay upfront for the property.

  • Property Taxes and Maintenance Fees: As a property owner, you'll be responsible for paying property taxes and the monthly maintenance fees, which can vary depending on the location and size of the property.


Make sure to consult a local legal expert to understand all your obligations and rights during the purchasing process.


5. Investing in an RFO Property: Rental Potential


Manila's rental market is thriving, especially in prime areas like Makati, BGC, and Ortigas. If you're purchasing an RFO property as an investment, the potential for rental income can be significant. Expats, young professionals, and students are always in search of convenient and well-located rental spaces, which makes RFO properties highly desirable.


The benefit of buying an RFO property for rental purposes is the immediate ability to lease it out as soon as you take ownership. This provides a quick return on investment, especially in the vibrant rental market of Manila. With the right marketing and property management, you can enjoy consistent cash flow from your rental property.


6. Key Considerations When Buying an RFO Property


While RFO properties offer many advantages, there are a few important factors to keep in mind:


  • Location: Research the neighborhood thoroughly before making a decision. Proximity to business districts, schools, hospitals, and shopping centers can significantly affect your property’s value and rental potential.

  • Developer Reputation: Make sure the property is developed by a reputable company with a track record of quality projects. This reduces the risk of encountering construction issues or delays.

  • Property Condition: Even though the property is ready for occupancy, inspect it for any defects or unfinished work. This can save you from unexpected repair costs in the future.



7. What to Expect After Moving In


Once you've secured your RFO property, the next step is to ensure that it's ready for a smooth transition. You'll want to make sure that all utilities (water, electricity, internet, etc.) are properly set up and functional. Additionally, it's important to familiarize yourself with the building's rules and regulations, such as parking guidelines, maintenance schedules, and community guidelines.


For foreign residents, settling into a new country can be challenging, but RFO properties offer a ready-made, comfortable living space to call home. You'll find that most developers also offer after-sales services like concierge support to help with any issues that may arise.


8. Understanding the Maintenance and Upkeep of RFO Units


Unlike newly pre-sold units, which often have to be maintained by the developer until they are fully delivered, RFO properties are your responsibility once you take possession. Regular maintenance is crucial to ensuring that the property remains in good condition. This includes keeping the unit clean, performing minor repairs, and ensuring that appliances and utilities function efficiently.


In addition, some RFO properties may require payment for common area maintenance, which includes services like security, cleaning, and landscaping of shared spaces in the building. Make sure to check for any maintenance obligations before finalizing your purchase.



Ready for Occupancy properties in Manila offer a unique opportunity for foreign buyers to enter the city's real estate market with minimal delay. Whether you're looking to buy a home for yourself or invest in a rental property, RFO units offer the advantage of immediate possession, prime locations, and the potential for steady rental income. With proper guidance and a clear understanding of the process, purchasing an RFO property can be a rewarding experience for foreign investors.


Start your journey today and explore the wide range of RFO properties available in Manila. Whether you’re new to the city or a seasoned investor, the right RFO property could be your gateway to a successful venture in one of Asia’s most exciting real estate markets.


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