Philippine Property Market: New DHSUD Licensing Rules Could Reshape the Housing Playing Field
A regulatory shift on temporary sales licenses stirs debate over who wins and who struggles
Written by PropVela Editorial TeamPublished 1 min read
Today's roundup zeroes in on a single but consequential regulatory shift: DHSUD's overhaul of licensing rules for housing developers, and what it could mean for the industry's smaller players.
Housing fast-track may squeeze small developers
DHSUD's Memorandum Circular No. 2026-012 allows developers who've already met standard licensing conditions to secure a temporary license to sell (TLS) while they finish pending requirements, and it shifts approval authority for these applications from DHSUD's central office to its regional offices—except in the Negros Island Region—with a 15-day turnaround window once fees are paid. Savills Philippines' research head cautioned that new escrow requirements tied to the revised TLS rules mean developers can no longer rely on early presale proceeds as free-flowing capital, since they'll need reserves on hand to cover refunds if a project fails to convert its license in time—a change likely to favor developers with stronger financial footing. Colliers Philippines' research director, however, struck a more optimistic note, suggesting that pairing the TLS reform with decentralized approvals could cut through long-standing licensing delays and speed up housing launches beyond Metro Manila. According to BusinessWorld, the net effect on the market will likely hinge on how developers of different sizes adapt to the new capital demands.