SENATOR Francis “Chiz” Escudero said that millions of low-income Filipinos stand to benefit from legislation institutionalizing free housing through usufruct, a legal arrangement that grants families the right to occupy and enjoy government land and housing without owning them.
“Through usufruct, this bill seeks to grant Filipino families the right to occupy, use, and enjoy government land and improvements for residential purposes, while ownership remains with the State,” Escudero told colleagues in his sponsorship of Senate Bill No. 2421 or the Free Housing Through Usufruct Act under Committee Report No. 79 on Wednesday.
The senator explained that only underprivileged, homeless citizens who do not own real property and have no affiliation with squatting syndicates will qualify. “Nakalatag sa Section 5 kung sinu-sino ang maaaring makinabang sa sapat at disenteng pabahay sa ilalim ng panukalang ito: mga Pilipinong kapos sa buhay at walang sariling tahanan, walang pag-aaring real property, at hindi professional squatter o miyembro ng squatting syndicate,” Escudero said.
Each usufruct agreement, he added, will be covered by a written contract detailing rights and obligations, including maintenance of the property and payment of utilities.
The veteran legislator emphasized that the housing units are strictly for residential use and warned that occupants cannot sell, transfer, mortgage, or rent out the units to others—acts that will cancel their right to use the property and ban them from government housing programs for 10 years.
SB 2421 also requires registration of usufruct contracts with the Registry of Deeds, ensuring transparency and legal protection for beneficiaries.
The Department of Human Settlements and Urban Development (DHSUD) will monitor implementation, while local government units will manage properties and guarantee access to basic services.
According to Escudero, the bill is designed to prevent abuse while securing tenure for genuine beneficiaries. “Ang bawat usufruct agreement naman ay nakapaloob sa isang nakasulat na kontrata kung saan nakasaad ang kanilang mga karapatan at obligasyon, pati ang mga kondisyon para sa patuloy na paggamit at pakikinabang sa ari-arian.”
The senator said the concept of usufruct dates back to Roman civil law but remains relevant today as a tool to address the stubborn problem of homelessness.
“Kung ang usufruct ay ang karapatang gamitin ang isang bagay at tamasahin ang mga bunga nito, nawa’y magbunga ang panukalang ito ng sapat at disenteng pabahay para sa milyun‑milyong Pilipinong nangangailangan,” he concluded.
Escudero, chair of the Senate Committee on Urban Planning, Housing and Resettlement, led the measure’s passage through committee deliberations. It was presented at the plenary under Committee Report No. 79, which consolidated earlier bills filed by Senators Lito Lapid and Mark Villar and now awaits plenary debate and interpellation before moving to the period of amendments.
