SOCIO-CULTURAL AND INSTITUTIONAL based on the needs and financial

CHALLENGES FOR EFFECTIVE DELIVERY OF capability of Program Beneficiaries

HOUSING IN THE PHILIPPINES and Appropriate Financing
Schemes (RA 7279)
BP 220 - An Act Authorizing the Ministry of - Location: shall be located within
Human Settlements to Establish and suitable site for housing and
Promulgate Different Levels of Standards outside potential hazard prone
and Technical Requirements for Economic and protection areas
and Socialized Housing Projects in Urban
and Rural Areas Sec. 5: Technical Guidelines & Standards
for Subdivisions
General Provisions
- Site criteria:
Sec. 1: Scope of Application
- Availability of Basic Needs:
- rules and standards shall apply to Basic needs should be
the development of economic and available with reasonable
socialized housing projects in distance
urban and rural areas. - Conformity with the Zoning
- Applies to house and lot or a house Ordinance or CLUP of the
or lot only. City or Municipality
- Physical Suitability: A
Sec. 2: Declaration of Policies potential site must have
characteristics assuring
- It is a policy of the government to healthful, safe and
promote and encourage the - environmentally sound
development of economic and community life.
socialized housing projects. - Accessibility: The site must
be served by a road that is
Minimum Design Standards and readily accessible to public
Requirements - transportation lines.

Sec. 4: Basis and Objectives - Planning considerations:

- Area Planning: Project
- Protection and Safety of life, limb, design must be flexible and
property and general public future-proof
welfare - Site Preservation: Slope;
- Basic needs of human settlements Vegetation or Foliage;
- Water Ground
- Movement and Circulation - Easements: A potential site
- Storm Drainage must have characteristics
- Solid and Liquid Waste assuring healthful, safe and
Disposal environmentally sound
- Park / Playground community life.
- Power - Circulation: Road network
hierarchy and pathwalk
- Affordable Cost: most reasonable design efficiency
price of land and shelter shelter
 - Design Parameters - Attributes of housing as a
- Land Allocation tradeable good. (Location
- Lot Requirement specificity,heterogenerity,
- Length of Block “neighborhood” effects,
- Shelter Component etc.)
- Setback / Yard - Characteristics of
- Water Supply the Households
- Electrical Power Supply - Nature of the
- Sewage Disposal System Housing Market
- Drainage System
- Garbage Disposal System Key Features of the Housing Market in the
- Fire Firefighting PH
- tremendous gap between the
PD 957 - The Subdivision and demand and supply of housing.
Condominium Buyers’ Protective Decree: - The majority of households are
Regulating the Sale of Subdivision Lots and unable to pay for the cost of
Condominiums, Providing Penalties for housing and land.
Violations Thereof - high rate of increase in land prices
is a major factor in house price
Key Provisions appreciation
- lack of long-term financing for
- Licensing Requirements: housing
Developers must secure a license - secondary financial market in the
from HLURB before selling country is undeveloped
properties. - The rental housing market for
- Disclosure Obligations: provide low-income households in the
comprehensive information about Philippines is also not developed.
the project. - Government housing programs
- Consumer Protection: establishes mainly emphasize homeownership.
safeguards for buyers, including - The rental market could thus serve
the right to a refund as a “staging area” for these
- Standards for Development: The families.
law sets guidelines for the physical
development of subdivisions and Housing Supply Constraints in the PH
condominiums
- Poor planning and infrastructure
Challenges to Effective Housing Delivery developments limit the supply of
housing land.
The Dynamics of Housing Demand in the - Administrative bottlenecks in land
Philippines and housing developments due to
contradicting land laws, unclear
- Housing demand analysis is standards and overlapping turfs
primarily a question of how cause delays in obtaining
households adjust their housing development permission.
consumption given factors that - Problems on property rights
place them out of equilibrium. - Land ownership is highly
- Housing Adjustment Decision concentrated and low land and
Factors
 property tax in the country - Crowding out of private finance
encourage holding land idle. and high transaction costs

Therefore, the mentioned scenarios limit 2. Land

the supply of urban lands and increase the
cost of servicing land, thus, causing - Limited land and tenure options
phenomenal - Poor land management and
rates of increase in urban land prices. administration
- Lack of integrated land
Features and their Underlying Causes information system
- Inappropriate and outdated
1. High unit housing cost relative to income planning guidelines

- Low wages and high 3. Governance

unemployment
- Construction costs rising faster than - Absence of coherent assignment
wages of roles and functions
- High rate of increase in urban land - Non-existent mechanisms for
prices managing urbanization
- Difficulty of Informal Settler Families
2. High rate of increase in urban land (ISFs) in accessing government
prices support
- Limited role of stakeholders
- Scarcity due to limited
infrastructure developments 4. Inclusive Urbanization
- Scarcity due to institutional
problems - Relocation or displacement of ISFs
- Holding of idle lands due to low - Proliferation of informal dwellings
land and property tax and urban sprawll

3. Lack of long-term financing and Central Goal: Accessible, Adequate,

unsustainable housing finance Safe/Secure, Sustainable

- Undeveloped secondary markets Housing Summit Recommended Actions:

- Graft and corruption Land and Housing
- Poor subsidy transfer mechanism
Executive
4. Underdeveloped rental housing market
- Establish an integrated land and
for low-income households
ISF information system with
- Government bias toward home institutional arrangements for data
ownership sharing.
- Rent control law - Develop flexible and updated
settlement planning and building
Major Issues and Concerns in Housing guidelines to promote affordable,
disaster-resilient housing and
1. Finance on-site upgrading.
- Resolve issues on proclaimed
- Underpriced loans and guarantees housing lands and standardize
- Leakages in subsidies guidelines for their administration
 and disposition to ISFs. programs, community savings, and
Issue a Joint DILG-HLURB counseling programs.
Memorandum Circular for - Review functions of state-owned
information sharing on compliance shelter institutions versus banking
projects under Sec. 18 of RA 7279 and microfinance sectors.
(UDHA).
- DENR to revise the IRR of RA 10023 - Issue uniform procedures for tax
(Special Patent Law) to streamline incentives for private sector
the issuance of special patents. socialized and low-cost housing,
- Issue an Executive Order including vertical developments,
supporting a private-sector-led per RA 7279 and EO 226.
vertical socialized housing program - Promote and expand rental
in urban centers. housing supply.
- Integrate the vertical socialized - Fund community development
housing program into the Philippine programs for ISF communities and
Development Plan. resettlement sites.

Legislative Legislative

- Promote the right to access - Conduct regulatory audit of rent

housing and institutionalize control, taxes, subsidies, and other
people’s participation in housing policies that may be restrictive or
project planning. non-tenure neutral.
- Amend Sec. 18 of RA 7279 (UDHA)
to include condominiums and
vertical socialized development.
- Issue a Joint Resolution clarifying
key housing terminologies.
- Prioritize vertical development for
socialized housing in urban centers.
- Review and pursue pending bills on
unlocking government lands for
socialized housing.
- Exempt forfeited properties
(except raw land) from Capital
Gains Tax if used for ISF housing.

Housing Summit Recommended Actions –

Financing

Executive

- Explore alternative uses of public

funds to reduce lending risks
- Evaluate household social
assistance alternatives: serviced
land grants, home improvement
grants, bulk building material
GLOBALIZATION 3. HYBRIDIZATION – Mixing Traditional
and Modern Practices: when
- Process by which countries, traditional and modern practices
people, and businesses around the or different cultural influences
world become more connected combine
and independent through the
exchange of goods, services, Socio-cultural factors that affects or
ideas, information and culture. address HOUSING
- Globalization makes the world
more connected – economically, 1. Family Structure & Size: Number of
culturally, and socially family members and their
relationships influence housing
Key aspects of globalization needs
2. Community and Social
1. Economic globalization – Growth Relationships: People often choose
of international trade, investments, housing close to relatives, friends,
and global markets. or familiar communities for social
2. Cultural globalization - Sharing of support
customs, languages, food, and 3. Cultural Beliefs and Traditions:
entertainment across countries Customs and traditions can
3. Technological globalization – determine housing layout,
Spread of technology and materials, and design
communication tools like the 4. Socioeconomic Status: Income
internet and smartphones that level, education, and occupation
connect people instantly affect the ability to buy, build, or
4. Political globalization – Countries rent a home
cooperating through international 5. Urbanization and Migration:
organizations Movement from rural to urban
5. Environmental globalization– areas increases housing demand
Shared global concerns like and may cause overcrowding or
climate change and natural informal settlements
resource use that require 6. Lifestyle and Modernization:
cooperation between nations Changing lifestyles (e.g.,
preference for privacy, technology
3 H Scenarios use) influence housing design and
materials
1. HETEROGENIZATION – Preserving
7. Religious and Ethical Values:
Cultural Uniqueness: globalization
Religion can guide housing
does not erase cultural differences.
orientation, cleanliness, and use of
Instead, communities retain their
spaces
unique traditions and identities
8. Cultural Identity and Heritage:
while adapting to change.
Some communities preserve
2. HOMOGENIZATION – Pressures of
traditional architecture to maintain
Mainstream Culture:
cultural identity
Homogenization occurs when local
9. Gender Roles and Social Norms:
cultures are influenced or replaced
Social expectations about gender
by dominant global or national
or age can shape house design
cultures
and ownership
 10. Government and Community
Programs: Cultural understanding
affects how housing projects are Objectives
planned and accepted.
1. Regulate sales and develop
subdivisions and condominiums -
MIDTERMS proper standards and permits
2. Protects buyer from fraudulent acts
BP 220 - licensed and accountable
3. Promotes livable and well
- philippine law that provided planned/developed communities -
standards and guidelines to mandating basic facilities, proper
socialized and economic housing allocation
projects 4. Recognize housing as a social and
- For the low and middle income economic right - housing as a
households/families necessity
- helps make houses more
affordable and livable Scope of decree
- it set rules for designing, planning,
constructing for a community - all condominium projects must be
- constructed and cost effective - low, medium, high rise: marketing
mas budget friendly yan sha
- goal: they are still safe, decent, 1. license to sell, development permit:
and comfortable, habitable d ka makakabenta if wala ka neto
- The difference between the 2 approved subdivision/building
(socialized and economic) mainly plan. DHSUD
is cost, lot area, amenities. 2. facilities and infrastructure
requirements - provide basic
PD 957 - 1976 human necessities (bp 220) -
ensure safe, functional,
Presidential Decree No. 957 - “Subdivision sustainable, livable
and Condominium Buyer’s Protective 3. open space allocation - allocate
Decree” total area of open space, parks or
recreational area
As Amended by PD 1216 – Regulating the
sale of subdivision lots and condominiums,
providing penalties for violations thereof.

- Ensures condominium and

subdivision livable and habitable,
properly developed
- Laws to avoid fraud

PD 957 is important

- it has a standard/limitation
- its about on protecting people -
the buyers