No, no… I am not currently being sued, thankfully. I mean, I was sued in the past. Feyma and I were sued here in Davao about 6 years ago. It was all a bunch of nonsense, and thankfully, it all worked out OK, but I thought I would relay the story to you, perhaps it would help you avoid some pitfalls. Sometimes, though, to be honest, no matter what you to do avoid problems, the problems still happen.
It all started when we first moved to Davao. At the time we were planning to move here, we had a really hard time finding a house to rent here which was suitable for our family. If we found a place which was big enough, there were other problems. One place was really infested with termites. Other places were too far away from where the kids would be attending school. For one reason or another, we just could not find the exact place that would be good for us. We ended up settling on a house that was similar to what we wanted, but it was pretty small. We have a large family, and we really had to squeeze in to the place. We figured that we might live there for a year, while searching for a better fit.
Well, we signed a one year lease on the house, and within days there was trouble. Before we could even move in, the landlord had come and torn out all of the grass in the yard without even asking us. This was during a rainy time of the year, so when we moved in we had nothing but mud in the yard. What a pain! Well, she kept promising to plant new grass, but month after month it never happened. There were other problems with the landlord too. After about 6 months in the house (still no grass, only mud!), we were told about a different house that we might be interested in. It was an older house, but really fit our lifestyle, and we loved it. We decided that we would move out from the house where we currently were living, and take this new one that we had found.
Under the lease in the old house, we had put up 2 months rent for a deposit. The lease stated that we could move out before the lease expired, but by doing so we had to forfeit our deposit. No problem, we were happy to get out of the place. At the time we moved out, we owned the landlord for the current rent. There was a problem, though. You see, the landlord owned a convenience store nearby, and we would always leave our rent payment there. Unfortunately, the store had gone out of business. We did not know the address of the landlord, because we always dealt through her convenience store. So, Feyma sent a text message to the landlord and told her that we would be moving out, and that we wanted to meet with her to pay our rent which was due, since her store was no longer open. Due to scheduling conflicts, Feyma and the landlord were unable to make a firm schedule to meet each other. Feyma kept texting the landlord trying to set up a meeting, and the lady would never respond to the texts. This went on for many weeks. We had already written a check for the rent, and it was ready to be given to the landlord anytime we saw her.
This was really getting to be a problem, as a couple of months had gone by already, and we still owed the money, but the landlord would not respond to our attempts to contact her. Then one day, a process server showed up at our new house to serve us papers. We had been sued! We were ordered to show up at the Barangay Court that very day, which we did. We had a meeting with the Barangay Captain and our former Landlord. The meeting was set up like a court hearing, where each party submitted testimony to the Barangay Captain, and he made a decision.
The first to testify was the landlord. She made up all kind of lies about us. She said that we had trashed the property before leaving, which is as far from the truth as you can possibly get. Anyway, I don’t even remember all of the things, but she made up dozens of different lies about us. It was hard for me to keep quiet during her testimony, I kept wanting to jump in with my side of the story, but the Barangay Captain told me to keep quiet until it was my turn, and I finally was able to hold myself back.
When it came our turn to testify, we explained that these things that the landlord kept saying were totally false. The Barangay captain seemed to be leaning toward believing the landlord, though. It was her word against ours, because there was no evidence. However, she claimed that we had refused to pay the due rent. We explained that we had been trying to pay, but she would not return our calls or texts. The Barangay Captain seemed to think that we were really being dishonest with him. However, he asked if we could prove that we had been trying to pay. Well, luckily, we thought of a way to prove it! We pulled out a sealed envelope from Feyma’s purse, which contained the check that we had written for the rent a couple of months earlier. We told him that we kept this check with us in case we ever ran into the lady, so that we could give it to her. He asked, “how do I know you didn’t just write this check today?” Well, we pulled out our checkbook, and showed in the register that the check had been written months ago, and many other checks had been written since.
Well, when the Barangay Captain saw this, his attitude changed totally. Suddenly, he realized that the landlord had been lying to him! He bluntly told her that if she had lied about this check, how could he believe anything else that she said? The lady was quite flustered, and didn’t know what to say! The Barangay Captain was very quick, and he told the lady “these people, the Martins, are very honest people. You are not honest. You can take the check for the rent, although I’d rather rule against you on that too. As for everything else, drop it now, or there will be trouble!” That was the end of the matter. The Barangay Captain told us that he was so happy to have us living in his Barangay, and if we ever needed anything, to be sure to contact him at any time!
So, as you see, this whole thing ended up OK for us. It was not a good feeling, though, and I was glad to get it over with. Honestly, I don’t know what I could have done to avoid this situation from the start. I hope that in your travels of the Philippines you can avoid problems like this. Always do your best to cover your footsteps, whenever possible.
Hi Bob,
Wow, that was a most interesting incident. I'm not sure if I could have maintained my composure with someone like that landlord. I remember what you wrote before about being rude, but that person would have tested my patience. I'll just remember to cover my tracks as you mentioned. Such a person would make me employ surveillance equipment to track that landlord. Then again, I'm having a Mission Impossible flashback. 🙂
Hi Bob,Having rented a few properties in the West,problems can arise anywhere in the world.One thing i used to do and would recommend, is to take dated photos around the property when you move in,and also just before you leave.If there is ever a dispute over the condition of the property,you then have before and after dated photos as evidence.This is especially useful if the landlord is disputing the return of some of the deposit coz he is claiming for ficticious damage to property,regards Chas.
Glad you made out all right Bob …Phil n Jess
What a piece of work, (what i reeeaaalllyy wanna call your former LL is unprintable!!) myself being a full time landlord I have never ever scammed anyone out of THIER money and dislike those who do. I also recommend taking pictures the day before you move in with the landlord present ….hold up the days newspaper with the date on it helps in a few pics , also upon vacating. One thing I would try and do on any contract is after the first year of renting have a clause in that one month worth of security be refunded ( since 2 months seems to be standard) if you sign for a second year which you put in for an option ( same rental rate !!) in the contract.
Bob, you're lucky you even have a contract. My family rented when we were still in Manila. Rarely do we encounter a landlord who has a contract! But of course, in your case, it didn't protect you. What could have been the situation if you were paying cash?
Hi Bob – Going throught that is horrible. I reported earlier on a situation like this I was involved with elsewhere in the Philippines and the Barangay also ruled in my favor. The landlord made up all sorts of nonsense and it was really frustrating to listen to her. I really wanted to see if my fist could fit through her mouth. Hey, I am wondering since you have been here so long and this is your adopted country for all intent and purposes. My question is why do you continue to throw money out the window by renting especially over 9 years???? Thats alot of mullah. Why havent you bought or even better yet built something. I know you want to build on Samal in the distant future but why not now build a place that is perfect for you and the family now. Hi quality building can be had for less than 20,000sqm. I don't meant to be personal about your finances and all that. I personally dont find the homes here all that practical for what I am use to back statesize for room sizes and functionality. Again sorry to be intruding on personal issues.
Bob,
I faced similar problem as this in past actually in that person sued me and was called to barangay hall, it happened twice actually. First time a fellow was demanding 40tphp from me despite the higher courts already having thrown out his case, needless to say higher court ruling superceded barangay proceedings and captain kicked him out of the barangay hall. Another time person tried to file case against me in barangay and I knew barangay captain was drinking buddies with the other person so I instead of going to barangay hall sent a letter via helper refusing to appear and asking that case be filed in higher court where it could easily be drug out for years at great expense to other party, The other party though didn't see fit to try.
Regarding renting in PI, To me its best idea to rent as you can move at any time, aren't responsible for upkeep under the common lease agreement, don't tie up your money in something you cant put in your name as a non-citizen and depending on price of rental you may be lucky enough to fall under rent control plus money spent in buying can generally be invested in such way that the money can earn enough money to cover rent price without ever going into principal. These are just my opinions.
Justin
Hi Bob- One thing I have learned from my Filipino wife is to " keep a record of everything!" Even the simplest reciept may one day help you to prove your point over a disputed matter.
Hi Bob, as a full time real estate investor / landlord I have to agree with you on the rent v/s own in the RP. From what I have seen is the rents are extremely low for the value of the real estate that u can rent, often less than 1% of the value. I naturally always prefer to own but I would be very comfortable renting in the RP..as a businesss decision it is smarter to rent there…for several reasons.
Hi Bob,
Good advice on keeping some proof on hand in case something ends up in Court.
One question I have is whether the idea of rent-to-own is something that is being done in Davao City ? I'm thinking if I rent a house and really like it I'd like to have the option to buy it. Just curious if this kind of deal is heard of there.
Hi Bob,
I think one of the biggest mistakes anyone can make is to rush into buying property; especially in provincial areas.
Your point about relative costs is spot on and anyone with business training would agree on that. There is another set of issues here also.
When a new person or family moves into a community anywhere it is good to have a serious amount of time to get aquainted.
Having seen what happens in impoverished communities when some wealthy retiree or 'yuppie' shows up, buys or builds the dream home then starts going about becoming part of the community, leads me to this conclusion: no way known! I want peoples real impressions; if they don't like me being there, I want to know about it. I have seen people do as described and end up with the whole town mocking and despising them behind their back; whilst to their face being polite or ignoring them altogether.
Best to just take time, let the locals have a good 'sniff'; see if the place really is meant to be 'home'. Watch out for the tall poppy syndrome!
Landlords like that should be put in a jail with hungry lions. I experience the same here in Italy where I'm currently living and working , No matter where you go "some" landlords always try to get more money than they deserve .
For chasdv I agree with you to take dated pictures everywhere around the house but really some landlords think that their property should look even better after a 10 years lease and all they do is blame the renters .
I have a house rented in the philippines to a family who lived there for 4 years now , of course when they will eventually decide to leave I won't really complain if there's something broken around my property , it may happen and those people gave me good money for many years so why make such a big issue. The truth is some landlords are really greedy !
Hi Bob,
Upon reading your article, I was able to reminisce my experiences in renting. I had my share of "crazy lessors" as well. lol
I've been assisting rental clients for several years now. And I have had times where I had to "fight" the Lessor for reasons such as:
a) Major Repairs – roof was leaking and the water flooded the master's bedroom. But the owner would take forever to act on it. In the meantime, the client gets frustrated, of course. One time in Ladislawa, a week after my client moved in, the septic tank overflowed. We all know that my clients had nothing to do with it. When I informed the owner about, the helper would tell me all sorts of excuses why I cannot talk to the owner herself. After a hundred calls, the owner talked to me and cussed me making it sound like it's my fault. Weird… I told her what was I supposed to do, camp outside her house so she and I can talk? Septic Tank is a serious problem. Therefore, should be acted upon immediately. To cut the story short, after the repairs and the contract ended, I haven't touched the house since then.
b) Owners who can't let go of their house. – I have a house whose owner thinks of it as her baby. So even with the rental contract, she'd find excuses to visit the house. Often. Then when there was a leak in the bath tub going to the kitchen, it took her forever to repair it.
c) Deposit – for all the rental clients out there, before you move out, I suggest to keep the house immaculate. Check that the furnitures have no damages, if furnished. Clean the back yard, etc. Because there are owners who would charge expensively specially if they do the cleaning up. This is just to make sure that the deposit is given back to you in full.
In the years that I've been doing this, I know almost all the Lessors in Davao, and I know who are the good ones. And the ones "NEVER' to deal with again. Ever.
Thank you again Bob for letting me share.
Lea C. Walker
Hi Bob,
I've been holding off on this one due to our problem being in progress.
We rented a nice house a month ago; it's a little expensive, therefore has usually been occupied by Kano/ Filipino families.
The previous tennant left without paying electricity or water for 4 months.
We knew nothing about this until: last monday the water people showed up threatening to cut the water/ Friday, Zameco came and with no notice, cut our power.
Our poor landlady; to whom the rent is her only income, has had to empty her own pocket to pay this irresponsible (nasty) tennant's bills.
Now the same lady has been lying to the Barangay about it; trying to weasel out of paying. This is a common situation here as often the landlord will keep services connected in their own name to save the tennant from the reconnection fees, which are very high.
In the meantime this ex tennants husband is working away on a ship; paying all necessary for his family. The poor bloke is being shamed by his shoppaholic wife; he can't fix the problem without coming back, which he can't do for 3 months.
One adjunct to this story is pretty funny:
The previous tennant moved to a bigger house which was vacated by a dear friend of mine who is an American ex serviceman.
I was able to get contact details for the husband, email and ship phone.
I am holding back on getting directly involved for as long as possible; but I have passed these details to the landlady.
Just another example of how networked the Philippines is becoming!