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Understanding the Maceda Law in the Philippines: A Guide to Claiming Real Estate Refunds

Updated: Jun 16, 2023


Are you considering purchasing a residential property with installment payment terms in the Philippines? It's essential to understand the Maceda Law, a significant piece of legislation in the Philippines, which provides protection and safeguards your rights as a buyer. This law allows you to enjoy grace periods and claim refunds in case of default or contract cancellation.

Coverage of the Maceda Law

The Maceda Law, officially known as the "Realty Installment Buyer Protection Act," specifically focuses on protecting buyers of residential properties under installment payment terms. It covers transactions related to the purchase or financing of houses, lots, and condominium units. The law sets forth provisions that apply to two categories of qualified buyers.

coverage of maceda law

Benefits and Provisions of the Maceda Law

For the first group of qualified buyers, the law grants them a grace period of one month for every year of installment payments made. In the event of payment default, they are given an additional 60 days from the due date to settle their payments without incurring penalties. If the contract is cancelled, these buyers are entitled to a refund of the cash surrender value, which amounts to 50% of the total payments made, including interest.

The second group of qualified buyers is entitled to a grace period of not less than 60 days from the date of their last payment. This grace period provides them with sufficient time to settle their payments before their contracts are cancelled. After the grace period, buyers can still reinstate their contracts by paying the necessary fees and charges.

Navigating the Maceda Law

When it comes to understanding the complexities of the Maceda Law, let our team of expert lawyers at Lawyers Online PH bridge the gap for you. As a trusted referral service, we connect clients like you with experienced legal professionals who specialize in real estate matters.

Buying a home is a significant investment, and the Maceda Law is designed to protect your rights as a buyer. Our dedicated team will ensure that you are matched with a qualified lawyer who can guide you through the intricacies of this law, providing the advice and assistance you need to navigate the process.

At Lawyers Online PH, we take pride in being the bridge that connects clients to the right legal professionals. By leveraging our extensive network of lawyers with expertise in the Maceda Law and real estate matters, we ensure that you receive the proper guidance and support to protect your interests.


Don't face the complexities of the Maceda Law alone. Contact Lawyers Online PH today and let us bridge the gap between you and the legal expertise you need. Your real estate journey deserves the right professionals by your side.

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What are the rights of a condominium buyer, if the layout plan was changed and the unit number purchased was remove.

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