By Ruth Abbey Gita-Carlos
MANILA – President Ferdinand R. Marcos Jr. is open to suspending increases in real property valuations amid concerns that higher assessments could add to the financial burden of property owners, Malacañang said Wednesday.
Palace Press Officer Claire Castro said the proposal was raised during Marcos’ meeting with the Private Sector Advisory Council (PSAC) Infrastructure Sector Group – Real Estate at Malacañan Palace in Manila on Tuesday.
In a Palace press briefing, Castro said the private sector sought the temporary suspension of increases in real property valuations, citing the current economic difficulties and the need to avoid imposing additional costs on property owners.
“Ang nais po nila ay magkaroon muna ng suspension, suspension ng pagtaas dahil sa nararanasan nating krisis (What they want is for the increase to be suspended for the time being because of the crisis we are currently experiencing),” she said.
Castro said the meeting also covered the possible effects of implementing new Schedules of Market Values (SMVs) and general property assessments, including whether real property taxes should be increased, reduced, or maintained at current levels.
She said the PSAC believes it is not timely to impose additional burdens on property owners because these could further strain their finances.
“Parang hindi napapanahon ngayon na dagdagan pa natin ng pasanin ang mga property owners para po hindi naman makabigat pa sa bulsa nila (It seems that now is not the right time to add another burden on property owners, so as not to further strain their finances),” Castro said.
She said the real estate sector has broad economic linkages, as activity in the industry generates income not only for property developers and workers but also for suppliers, banks, and housing lenders.
The proposal comes amid the implementation of the Real Property Valuation and Assessment Reform Act, which seeks to establish a uniform system for real property valuation and assessment.
Asked whether the President is inclined to support the private sector’s proposal, Castro answered in the affirmative.
She also noted that the Department of Finance is already taking action on the matter.
“Naging maganda po ang pagmi-meeting po with the PSAC ng ating Pangulo dahil doon ay ipinakita kung gaano kahalaga ang real estate industry dahil sa real estate industry halos lahat, iikot diyan ang ekonomiya (The meeting between the President and the PSAC went well because it highlighted how important the real estate industry is, since a large part of the economy revolves around the real estate industry),” she said.