FOREIGNER CONDO REGISTRATION

BROKER: Juan, have you heard of this new BSP-BSRD requirement for foreign condo owners?

JUAN: First time I’m hearing this. What happened?

BROKER: We tried depositing over P1M of rent into a foreign client’s peso account at [MNC BANK]. The bank refused—said the owner needed a BSP-issued Bangko Sentral Registration Document (BSRD).

JUAN: Same thing happened to another client of ours—even for less than P500K. PesoNet transfer was also blocked. From what I’ve read, the BSRD seems like a license to convert pesos to a foreign currency. But questions remain—what if the unit isn’t rented out at all? Do they still need it? Let me check with BSP…

BSP’s Simplified Email Reply:

JPRE: Is BSRD mandatory for all foreign condo owners?

BSP: No. Registration is OPTIONAL. You only need it if the owner plans to repatriate capital (e.g., after selling the condo) or remit earnings abroad USING FOREIGN EXCHANGE SOURCED LOCALLY. If rent stays in pesos and just sits in a Philippine account, no BSRD is required.

JPRE: What about when the condo is sold?

BSP: Yes. BSP issues an electronic BSRD as proof of investment registration. This document must be shown to the bank/forex dealer to repatriate the proceeds.

JPRE: When a foreigner pays or remits funds to a developer, is it necessary to first secure a BSRD?

BSP: BSP can only register the investment once the condo is fully paid.

In short: BSRD is optional unless foreign exchange is involved. Pure peso deposits don’t require it, but any plan to remit or repatriate funds abroad does. So, [MNC Bank] is wrong.