14/09/2025
Alamin mo ang Maceda Law!
The "๐ ๐ฎ๐ฐ๐ฒ๐ฑ๐ฎ ๐๐ฎ๐," formally known as Republic Act No. 6552 or the Realty Installment Buyer Act, is a Philippine law enacted on September 14, 1972. Authored by former Senator Ernesto Maceda, the law aims to protect buyers of real estate on installment payments from onerous and oppressive conditions.โฃ
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๐๐๐ฒ๐ ๐ฃ๐ฟ๐ผ๐๐ถ๐๐ถ๐ผ๐ป๐ ๐ผ๐ณ ๐๐ต๐ฒ ๐ ๐ฎ๐ฐ๐ฒ๐ฑ๐ฎ ๐๐ฎ๐โฃ
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The Maceda Law applies to transactions involving the sale or financing of residential real estate on installment payments, including residential condominium apartments. It does not cover industrial lots, commercial buildings, or sales to tenants under certain agrarian reform laws.โฃ
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1. ๐๐๐๐ฒ๐ฟ๐ ๐ช๐ต๐ผ ๐๐ฎ๐๐ฒ ๐ฃ๐ฎ๐ถ๐ฑ ๐ฎ๐ ๐๐ฒ๐ฎ๐๐ ๐ง๐๐ผ ๐ฌ๐ฒ๐ฎ๐ฟ๐ ๐ผ๐ณ ๐๐ป๐๐๐ฎ๐น๐น๐บ๐ฒ๐ป๐๐โฃ
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If a buyer has paid at least two years of installments:โฃ
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โข ๐๐ฟ๐ฎ๐ฐ๐ฒ ๐ฃ๐ฒ๐ฟ๐ถ๐ผ๐ฑ: The buyer is entitled to a grace period of one month for every year of installment payments made to pay unpaid installments without additional interest. This right can be exercised only once every five years during the contract's term.โฃ
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โข ๐ฅ๐ฒ๐ณ๐๐ป๐ฑ: If the contract is canceled, the seller must refund the buyer 50% of the total payments made. An additional 5% per year is added after five years of installments, but the total refund cannot exceed 90% of the total payments made.โฃ
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2. ๐๐๐๐ฒ๐ฟ๐ ๐ช๐ต๐ผ ๐๐ฎ๐๐ฒ ๐ฃ๐ฎ๐ถ๐ฑ ๐๐ฒ๐๐ ๐ง๐ต๐ฎ๐ป ๐ง๐๐ผ ๐ฌ๐ฒ๐ฎ๐ฟ๐ ๐ผ๐ณ ๐๐ป๐๐๐ฎ๐น๐น๐บ๐ฒ๐ป๐๐โฃ
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If a buyer has paid less than two years of installments:โฃ
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โข ๐๐ฟ๐ฎ๐ฐ๐ฒ ๐ฃ๐ฒ๐ฟ๐ถ๐ผ๐ฑ: The buyer is entitled to a 60-day grace period from the date the installment became due.โฃ
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โข ๐๐ผ๐ป๐๐ฟ๐ฎ๐ฐ๐ ๐๐ฎ๐ป๐ฐ๐ฒ๐น๐น๐ฎ๐๐ถ๐ผ๐ป: If the buyer fails to pay within the grace period, the seller may cancel the contract after 30 days from receipt by the buyer of the notice of cancellation or the demand for rescission of the contract by a notarial act.โฃ
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3. ๐๐ฑ๐ฑ๐ถ๐๐ถ๐ผ๐ป๐ฎ๐น ๐ฅ๐ถ๐ด๐ต๐๐
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โข ๐๐๐๐ถ๐ด๐ป๐บ๐ฒ๐ป๐ ๐ผ๐ณ ๐ฅ๐ถ๐ด๐ต๐๐: The buyer has the right to sell or assign their rights to another person.โฃ
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โข ๐ฅ๐ฒ๐ถ๐ป๐๐๐ฎ๐๐ฒ๐บ๐ฒ๐ป๐ ๐ผ๐ณ ๐๐ผ๐ป๐๐ฟ๐ฎ๐ฐ๐: The buyer can reinstate the contract by updating the account during the grace period and before the actual cancellation of the contract.โฃ
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โข ๐๐ฑ๐๐ฎ๐ป๐ฐ๐ฒ ๐ฃ๐ฎ๐๐บ๐ฒ๐ป๐: The buyer may pay in advance any installment or the full unpaid balance of the purchase price without interest.โฃ
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๐ฆ๐๐ฝ๐ฝ๐น๐ถ๐ฐ๐ฎ๐ฏ๐ถ๐น๐ถ๐๐ ๐๐ผ ๐๐ฎ๐ป๐ธ ๐๐ผ๐ฎ๐ป๐โฃ
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The Maceda Law typically does not apply to bank loans, as these are considered loan agreements rather than installment sales between the buyer and the property developer. Therefore, protections under the Maceda Law may not be available in such cases.โฃ
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โ๏ธ๐๐ป๐ณ๐ผ๐ฟ๐ฐ๐ฒ๐บ๐ฒ๐ป๐ ๐ฎ๐ป๐ฑ ๐๐ฒ๐ด๐ฎ๐น ๐ฆ๐๐ฎ๐ป๐ฑ๐ถ๐ป๐ดโฃ
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The Maceda Law is a national statute and holds precedence over conflicting contractual stipulations. For instance, even if a contract includes a clause stating that all payments will be forfeited upon cancellation, the buyer may still be entitled to the protections and refunds provided under the Maceda Law. However, enforcement may require legal action, and buyers are advised to consult with a lawyer to understand their rights and options.โฃ
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