MANILA, Philippines - The Senate and the House of Representatives had ratified the free patent bill that would allow 39 million Filipinos, mostly from low and middle-income families, to legally obtain title to the land that they have possessed for at least 10 years.
Sen. Richard Gordon, co-sponsor and author of Senate Bill 3429 (an Act Reforming the Administrative Titling Process), said the measure that was ratified by both the Senate and House before the Christmas break, aims to ease the requirements and procedures in the issuance of titles on residential and commercial land.
“Many landowners, despite possession of their land, have only rights or a tax declaration to their land due to the high cost, long delay, and inconvenient procedures of judicial titling,” Gordon said.
Under the present Public Land Act, residential and commercial landholders could acquire titles only through court, which requires hiring a lawyer, paying for a survey, securing testimonies from neighbors and clearances from the barangay, and filing a court petition, among others.
The senator explained that the current situation, where many land parcels remain untitled, make for bad economics, because landowners cannot secure loans on their property for business and home improvement; and bad policy, because without a title, landowners will not be secure in their possession, potentially becoming victims of illegally issued land titles by criminal syndicates.
Business organizations such as the Chamber of Thrift Banks (CTB) and the Makati Business Club (MBC) have been anticipating the enactment of the Free Patent Act, which is also expected to benefit the economy.
“This measure is expected to stimulate bank lending with better collateral, allowing homeowners access to credit in banking institutions,” said Pascual Garcia III, president of CTB, in his letter to Gordon.