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Makati City, often hailed as the financial heart of the Philippines, is a vibrant and bustling metropolis. It’s home to gleaming skyscrapers, multinational corporations, high-end shopping centers, and a dynamic nightlife. For many, renting an apartment in Makati signifies convenience, access to career opportunities, and a cosmopolitan lifestyle. Its appeal draws a diverse pool of renters, from young professionals and expatriates to families seeking proximity to reputable schools and amenities.

However, the allure of Makati’s urban landscape can sometimes overshadow the complexities of its rental market. While the city offers a vast array of housing options – from luxurious condominiums in Salcedo and Legazpi Villages to more budget-friendly apartments in areas like Poblacion or San Antonio – navigating this market requires careful consideration and a keen eye. Without proper due diligence, prospective tenants can easily fall prey to common pitfalls that lead to financial losses, inconvenient living situations, or even legal disputes.

Renting an apartment in a fast-paced city like Makati, particularly for those new to the Philippines or the local rental customs, presents unique challenges. The urgency to secure a place, coupled with a lack of familiarity with local laws and typical rental practices, can make one vulnerable to mistakes. These errors often range from superficial checks to overlooking crucial contractual details, ultimately diminishing the quality of the rental experience.

This comprehensive guide will illuminate five of the most common mistakes prospective tenants make when renting an apartment in Makati City. We will delve into each pitfall, explaining why it occurs, what its consequences can be, and most importantly, how to proactively avoid it. By understanding these critical missteps, you can approach your apartment hunt in Makati with confidence, ensuring a smooth, secure, and satisfactory rental journey in one of Metro Manila’s most sought-after addresses.

I. Mistake #1: Skipping a Thorough Ocular Inspection

In the age of online listings and virtual tours, it’s tempting to make decisions based solely on what you see on a screen. However, in the Makati rental market, this is perhaps the gravest mistake one can make. An ocular inspection – a physical visit to the property – is non-negotiable.

A. Why Skipping the Ocular Inspection is a Major Pitfall

1. Misleading Photos and Virtual Tours: Online listings often feature professional, wide-angle photographs taken under optimal lighting, or even digitally enhanced images. Virtual tours, while helpful for a preliminary glimpse, cannot convey the full reality of a space.
   • Consequence: The actual unit might be significantly smaller, darker, or in a poorer state of repair than depicted. The “phantom property” scam, where a property doesn’t exist or is not available, also relies heavily on tempting online photos to lure victims into paying deposits sight unseen.
2. Unseen Damages and Maintenance Issues: Many hidden problems are not apparent in photos. These can include:
   • Water Damage/Leaks: Stains on ceilings, walls, or floors that indicate past or current leaks, which can lead to mold and structural issues.
   • Pest Infestations: Signs of cockroaches, ants, or even rodents that might be cleverly concealed.
   • Cracks or Deterioration: Subtle cracks in walls, peeling paint, rusty fixtures, or damaged flooring that suggest poor maintenance.
   • Consequence: You inherit costly repairs or live in an uncomfortable, potentially unhealthy environment.
3. Evaluating Actual Space and Layout: Photos can distort dimensions. A unit might look spacious in pictures but feel cramped in person. You need to physically walk through the unit to assess:
   • Room Sizes: Are the bedrooms large enough for your furniture? Is the living area suitable for your needs?
   • Storage Space: Is there adequate closet and cabinet space?
   • Natural Light and Ventilation: How much natural light enters the unit? Are windows strategically placed for airflow? Makati units, especially older ones, can sometimes be surprisingly dark or poorly ventilated.
   • Consequence: You end up with an impractical living space that doesn’t meet your lifestyle needs.
4. Assessing Appliance and Fixture Condition: If the unit comes furnished or semi-furnished, you must check the condition of:
   • Air Conditioning Units: Do they cool effectively? Are they noisy? Are they well-maintained? Given Makati’s tropical climate, this is crucial.
   • Kitchen Appliances: Are the stove, refrigerator, and microwave (if included) in good working order?
   • Bathroom Fixtures: Do toilets flush properly? Are faucets leaking? Is there good water pressure? Are there water heaters?
   • Consequence: You might have to spend extra on repairs or replacements soon after moving in, or endure uncomfortable living without essential amenities.
5. Understanding the Immediate Surroundings and Building Amenities: The building and neighborhood context are as important as the unit itself.
   • Noise Levels: Is the unit facing a noisy street, a construction site, or a bustling commercial area?
   • Building Condition: How clean are the common areas (lobby, hallways, elevators)? Are facilities like the gym, pool, and laundry room well-maintained and accessible?
   • Security: How secure is the building? Are guards present? Are CCTVs visible?
   • Proximity to Essentials: Is it truly convenient to your workplace, public transport, grocery stores, and other necessities? Google Maps might show proximity, but a walk will reveal the actual pedestrian experience, safety, and convenience.
   • Consequence: You might find yourself in a constantly noisy environment, a poorly maintained building, or a location that isn’t as convenient as you initially thought.

B. How to Avoid It

• Always Schedule a Physical Visit: No exceptions. If you are overseas, ask a trusted friend, family member, or a reputable real estate agent to conduct a thorough video tour for you, asking them to focus on potential red flags.
• Prepare a Checklist: Bring a checklist of things to inspect (e.g., water pressure, light switches, door/window locks, presence of pests, AC functionality, odors, noise levels).
• Take Photos/Videos: Document the condition of the unit before moving in, especially any existing damages. This is crucial for securing your security deposit upon move-out.
• Visit at Different Times (if possible): A unit might be quiet during the day but noisy at night, or vice-versa. A quick evening visit can reveal a lot about the neighborhood’s character.

II. Mistake #2: Neglecting to Thoroughly Read and Understand the Lease Contract

The lease contract is the most critical document in your rental journey. It’s a legally binding agreement that outlines the rights and responsibilities of both the landlord and the tenant. Rushing through it or failing to comprehend its clauses is a recipe for future disputes and financial headaches.

A. Why Neglecting the Lease Contract is a Major Pitfall

1. Unclear Rental Terms and Payment Schedules:
   • Rent Amount and Due Date: Is the exact monthly rent clearly stated? What are the penalties for late payments?
   • Advance Rent and Security Deposit: How much is required for each? The Rent Control Act (RA 9653, relevant for units P10,000/month or less) limits landlords to one month’s advance and two months’ security deposit. For higher-end units in Makati, 1-2 months advance and 2-3 months security deposit are common, but confirm what’s being asked.
   • Deposit Refund Conditions: What are the specific conditions for the return of your security deposit? What deductions can be made (e.g., damages, unpaid utilities)? When will it be returned (usually 30-60 days after move-out)?
   • Consequence: You might face unexpected fees, disputes over deposit refunds, or misunderstandings about payment obligations.
2. Ambiguous Inclusions and Exclusions:
   • Utilities: Are electricity, water, internet, and cable included in the rent? If not, how are they metered and billed?
   • Association Dues/Condominium Dues: Are these covered by the landlord or the tenant? In Makati condos, these can be substantial.
   • Furniture/Appliances: Is an inventory of included furniture and appliances attached? What is their condition?
   • Consequence: You might end up paying for utilities or dues you thought were covered, or dispute the condition of items upon move-out.
3. Unfavorable Lease Duration and Renewal/Termination Clauses:
   • Minimum Lease Period: Is there a minimum lock-in period (e.g., 6 months, 1 year)? What are the penalties for early termination?
   • Renewal Terms: How and when can the lease be renewed? What are the terms for rent increases upon renewal (usually 5-10% annually for residential, but subject to market conditions for high-end properties not covered by RA 9653)?
   • Consequence: You might be stuck in a long-term contract with hefty penalties for early exit, or face unexpected rent hikes upon renewal.
4. Unreasonable House Rules and Restrictions:
   • Pets: Is your pet allowed? Are there any restrictions on size, breed, or number?
   • Renovations/Alterations: What modifications are allowed? Can you hang pictures, or paint walls?
   • Guests/Visitors: Are there any restrictions on overnight guests or parties?
   • Use of Amenities: Are there specific rules or fees for using building amenities like the pool, gym, or function rooms?
   • Consequence: You could inadvertently violate terms, leading to fines, complaints from neighbors, or even eviction.
5. Lack of Clarity on Repairs and Maintenance Responsibilities:
   • Minor vs. Major Repairs: Who is responsible for what? Generally, landlords handle major structural repairs, while tenants are responsible for minor upkeep and damages they cause. But this should be clearly defined.
   • Reporting Procedures: How do you report issues? What is the expected response time from the landlord or property manager?
   • Consequence: Disputes over who pays for repairs, delayed maintenance, or living with broken fixtures.
6. “As Is, Where Is” Clauses: Some contracts might state the unit is rented “as is, where is.” This means you accept its current condition, including all existing flaws.
   • Consequence: You have no recourse for existing issues once you’ve signed.

B. How to Avoid It

• Read Every Clause: Do not skim. Read the entire contract, word for word.
• Ask Questions: If you don’t understand a clause, ask the landlord or agent for clarification. Don’t be shy.
• Negotiate (if possible): Some terms, especially for private landlords or longer leases, might be negotiable (e.g., minor repairs, specific house rules, rent increase cap).
• Seek Legal Advice (for complex situations): For high-value rentals, long-term leases, or if you’re an expatriate unfamiliar with Philippine law, consider having a lawyer review the contract.
• Ensure All Agreements are in Writing: Any promises or agreements made orally must be written into the contract and signed by both parties.
• Request an Inventory: For furnished or semi-furnished units, insist on a detailed inventory list of all items and their condition, signed by both parties. Take photos.

III. Mistake #3: Underestimating Hidden Costs and Overlooking the Total Budget

Makati living comes with a price tag, and rent is often just the tip of the iceberg. Many tenants, especially those new to the city, fail to account for various hidden or easily underestimated costs.

A. Why Underestimating Costs is a Major Pitfall

1. Utilities (Electricity is King in Makati):
   • High Electricity Bills: Manila Electric Company (MERALCO) rates are relatively high in the Philippines. With Makati’s hot climate, air conditioning is a necessity, not a luxury. Continuous AC use, especially in older units or those with inefficient units, can lead to surprisingly high bills (P3,000 to P8,000+ per month for a studio/1BR depending on usage and AC efficiency).
   • Water and Internet: While generally less expensive than electricity, these add up. High-speed internet is essential but comes with monthly fees.
   • Consequence: Your monthly expenses far exceed your budget, leading to financial strain.
2. Association Dues / Condo Dues:
   • Mandatory Fees: Most condominiums in Makati charge monthly association dues to cover building maintenance, security, common area utilities, and amenities. These can range from P50 to P100+ per square meter. For a 30 sqm unit, this could be P1,500 to P3,000+ monthly.
   • Who Pays? Typically, the tenant pays if the unit is rented bare, while the landlord covers it if it’s fully furnished (to justify higher rent). This must be clear in the contract.
   • Consequence: An unexpected additional expense of several thousand pesos per month.
3. Initial Move-in Costs:
   • Advance and Deposit: As mentioned, typically 1-2 months advance rent and 2-3 months security deposit are required upfront. For a P30,000/month unit, this means P90,000 to P150,000 just for the initial payment.
   • Broker’s Fee: If you used a real estate broker, their fee (usually one month’s rent for a one-year lease, paid by the tenant or split with the landlord) is due upon contract signing.
   • Moving Expenses: Cost of movers, packing materials, etc.
   • Consequence: A large upfront financial burden that can deplete savings if not budgeted for.
4. Furnishing and Appliances:
   • Bare vs. Furnished: “Bare” units mean no furniture or appliances. “Semi-furnished” might include only an AC, water heater, or basic kitchen appliances. “Fully furnished” should mean move-in ready.
   • Hidden Costs of “Bare”: If you rent a bare unit, you’ll need to factor in the cost of buying furniture, appliances, and basic household items. This can easily run into tens of thousands of pesos.
   • Consequence: Significant unforeseen expenditure on outfitting your new home.
5. Transportation and Parking:
   • Parking Fees: If you have a car, parking in Makati condos is often an additional monthly fee (P3,000 – P8,000+ per month). Street parking is limited and risky.
   • Commuting Costs: While Makati is walkable, commuting to other parts of Metro Manila can be expensive (taxi/Grab fares) or time-consuming (public transport).
   • Consequence: Increased daily expenses that impact your overall budget and convenience.
6. Maintenance and Repairs:
   • Minor Repairs: If your contract states you’re responsible for minor repairs, these small costs (e.g., clogged drains, lightbulb replacements) can accumulate.
   • Consequence: Unexpected out-of-pocket expenses for minor fixes.

B. How to Avoid It

• Create a Detailed Budget: Beyond rent, list all potential expenses: utilities (estimate high for electricity!), association dues, internet, cable, parking, initial move-in costs, broker fees, and a buffer for unexpected repairs or purchases.
• Ask for Utility Bills: If possible, ask the landlord or agent for copies of previous utility bills for the unit to get a realistic estimate.
• Clarify All Fees: Before signing, explicitly ask about all recurring monthly fees and one-time upfront costs. Get it in writing.
• Factor in Furnishing Costs: If renting bare, research appliance and furniture prices before committing. Consider second-hand options initially.
• Understand Parking Options: If you have a car, confirm parking availability and cost before signing.

IV. Mistake #4: Falling Victim to Rental Scams

Unfortunately, the high demand and perceived lucrative nature of the Makati rental market attract scammers. These individuals prey on the urgency and sometimes the naiveté of prospective tenants, leading to significant financial losses.

A. Why Falling for Rental Scams is a Major Pitfall

1. “Too Good to Be True” Deals: Scammers often advertise properties at unbelievably low prices for prime Makati locations (e.g., a luxury 2BR condo in Legazpi Village for P20,000/month).
   • Consequence: You send money for a non-existent deal.
2. Fake Owners or Agents: The person you’re dealing with is not the legitimate owner or an authorized real estate agent. They might use forged IDs or impersonate real landlords.
   • Consequence: You pay advance rent and security deposit to someone who disappears, leaving you with no apartment and no recourse.
3. Phantom Properties: The property advertised either doesn’t exist, is already rented, or the “owner” has no legal right to rent it out.
   • Consequence: You pay for a unit you can never occupy.
4. Bait-and-Switch Tactics: You are shown a beautiful unit online or in pictures, but when you arrive, you are shown a much lesser-quality, undesirable unit. The scammer might claim the advertised unit is “under renovation” or “just rented.”
   • Consequence: You are pressured into renting a unit you don’t want, or you waste time and effort.
5. Pressure to Pay Immediately (“Urgent Deposit”): Scammers create a false sense of urgency, claiming many other interested parties or that the “deal will be lost” if you don’t pay a deposit immediately. They often insist on cash or untraceable money transfers.
   • Consequence: You make a hasty, ill-informed decision and potentially lose your money.
6. “Overseas Landlord” Scam: The “landlord” claims to be overseas and unable to show the property in person, asking you to send money via wire transfer, promising to mail keys.
   • Consequence: This is almost always a scam. You send money, and the “landlord” vanishes.
7. Double Renting: The scammer rents out the same property to multiple tenants, collecting deposits from all of them, then disappears.
   • Consequence: You arrive to move in only to find other unsuspecting tenants also claiming the unit.

B. How to Avoid It

• Always Visit the Property in Person: This is the golden rule. If you can’t, have a trusted local representative do it for you. Never rent a unit sight unseen.
• Verify the Owner’s Identity and Authority:
  • Ask for a valid government-issued ID of the landlord.
  • If dealing with an agent, ask for their PRC (Professional Regulation Commission) license. You can verify this license online.
  • Request to see the property’s title (TCT – Transfer Certificate of Title) and tax declaration. While scammers can forge documents, this is a necessary step. For condos, you can often verify ownership with the condominium administration office (though they may require the owner’s authorization to release details).
• Be Skeptical of Unrealistic Deals: If the price is significantly lower than comparable units in Makati, it’s a red flag. Do your market research on rental rates. (As of Q1 2025, a 1-bedroom condo in Makati typically ranges from P30,000 to P70,000/month, with luxury units exceeding P150,000. Studio units can range from P25,000 to P35,000).
• Never Pay in Cash Unless Absolutely Necessary and with a Receipt: Use traceable payment methods like bank transfers or checks. Always get an official receipt for all payments, clearly detailing the amount, purpose (advance, deposit), date, and names of payer/payee.
• Read the Contract Carefully (again): Scammers often have vague or suspicious contracts.
• Don’t Be Pressured: Take your time. A legitimate landlord won’t rush you into signing or paying.
• Beware of Overseas Landlords: If a landlord claims to be abroad and asks for wire transfers, walk away. Legitimate landlords will have a local representative.
• Check Online Reviews/Groups: Search for the landlord/agent’s name, the building’s name, or the unit address for any negative reviews or scam warnings. Join local Facebook rental groups; members often share experiences.

V. Mistake #5: Ignorance of Your Tenant Rights and Responsibilities

Many tenants, particularly those unfamiliar with Philippine law, sign contracts without fully grasping their legal standing. This can lead to them being exploited or unknowingly violating terms.

A. Why Ignorance of Rights and Responsibilities is a Major Pitfall

1. Unlawful Eviction:
   • The Law: The Rent Control Act (RA 9653), while primarily covering units P10,000/month or less, provides general principles for tenant protection. Even for high-value units not strictly covered, landlords cannot simply evict a tenant without valid reasons (e.g., non-payment of rent for 3 months, serious damage to property, breach of lease terms, or owner’s legitimate need to repossess for personal use). A formal written notice and proper legal procedures (including potential barangay mediation and court action) are required.
   • Consequence: A landlord might try to illegally evict you (e.g., changing locks, cutting utilities), and you won’t know how to defend yourself or what your legal recourse is.
2. Unreasonable Rent Increases:
   • The Law: The Rent Control Act caps annual rent increases (e.g., 2% for units below P5,000; 7% for P5,000-P8,999; 11% for P9,000-P10,000). For higher-value units, while not directly covered by these caps, the contract should specify the terms of increase.
   • Consequence: The landlord might attempt to raise rent arbitrarily, and you might accept it without knowing your rights to negotiate or challenge.
3. Disputes Over Repairs and Habitable Conditions:
   • Your Right: Tenants have the right to a habitable space with access to essential services (water, electricity, sanitation). Landlords are generally obligated to make necessary major repairs.
   • Consequence: You might live in a unit with unaddressed maintenance issues or be forced to pay for repairs that are the landlord’s responsibility. In severe cases, the Civil Code allows for the suspension of rent or repair-and-deduct if the landlord fails to act on urgent defects.
4. Privacy Rights Violation:
   • Your Right: Landlords must give reasonable notice (usually 24-72 hours) before entering the property, except in emergencies.
   • Consequence: The landlord might enter without permission, infringing on your privacy.
5. Security Deposit Misuse/Non-Return:
   • Your Right: Security deposits are held against damages or unpaid rent. They must be returned within a specified period (e.g., 30-60 days) after the lease ends, with an itemized deduction list for any valid claims. The Rent Control Act mandates the deposit be kept in a bank and interest accrue to the tenant.
   • Consequence: The landlord might unfairly withhold your deposit or delay its return without proper justification.
6. Responsibilities You Might Unknowingly Violate:
   • Timely Rent Payment: Failing to pay on time, even by a few days, can lead to penalties or eventually grounds for eviction.
   • Proper Use of Property: Using the unit for commercial purposes if it’s purely residential, or causing nuisance to neighbors, can breach your contract.
   • Minor Upkeep: Not performing minor repairs or maintaining cleanliness can lead to deductions from your security deposit or breach of contract.
   • Consequence: You face penalties, lose your deposit, or unknowingly provide grounds for eviction.

B. How to Avoid It

• Familiarize Yourself with Key Philippine Rental Laws: While complex, understand the basics of the Rent Control Act (RA 9653) and relevant provisions of the Civil Code concerning lease agreements. Online resources from reputable legal firms or government agencies (like DHSUD) can be helpful.
• Read Your Contract and Clarify Responsibilities: Ensure the contract clearly defines responsibilities for repairs, maintenance, and utility payments. If anything seems ambiguous, ask for clarification.
• Document Everything:
  • Move-in Condition: Thoroughly document the unit’s condition with photos and videos before moving in.
  • Communication: Keep a written record (emails, messages) of all communications with your landlord or agent, especially regarding repairs, complaints, or contract discussions.
  • Payments: Always get official receipts for all payments. Use traceable methods like bank transfers.
• Know Who to Contact for Disputes: If a dispute arises, initial steps often involve barangay mediation (local community arbitration), followed by formal complaints with government agencies like the Department of Human Settlements and Urban Development (DHSUD), or ultimately, legal action.
• Don’t Be Afraid to Seek Advice: If you feel your rights are being violated, consult with a lawyer or seek advice from tenant support organizations.

Conclusion: A Strategic Approach to Renting in Makati

Renting an apartment in Makati City offers an unparalleled urban experience, but it also demands a strategic and informed approach. The city’s fast-paced environment, coupled with the inherent complexities of any rental market, means that a casual approach can lead to significant financial setbacks, stress, and dissatisfaction.

By diligently avoiding these five common mistakes – skipping the crucial ocular inspection, neglecting a thorough review of the lease contract, underestimating the full scope of associated costs, falling prey to increasingly sophisticated rental scams, and remaining unaware of your fundamental tenant rights and responsibilities – you can navigate the Makati rental landscape with confidence and competence.

A successful rental experience in Makati is built on preparedness, meticulous attention to detail, and a proactive mindset. Take the time to visit properties in person, scrutinize every clause of your contract, build a realistic budget that accounts for all expenses, exercise extreme caution against fraudulent schemes, and empower yourself with knowledge of your legal standing. By doing so, you won’t just find an apartment; you’ll secure a comfortable, secure, and genuinely satisfying home in the heart of one of Asia’s most dynamic cities.