Call Us Today: 1-888-999-5454

Why 2018 Is The Best Year To Get In Philippine Real Estate

By in Real Estate News with 0 Comments Published: 4:58 pm, April 6, 2018

In case you haven’t heard, the Philippines is currently emerging as one of the fastest growing economies in Southeast Asia. As an effect, properties around the country are foreseen to experience a continuous appreciation in value for the next few years. And according to David Leechiu, Co-Founder and CEO of Leechiu Property Consultants, one of the Philippines leading entities in the real estate industry, 2018 may be the start of best year to invest in properties if you’re out to get huge gains.

Here’s a quick summary of what’s to come this 2018 and why it’s not yet too late for you to invest in real estate today.

1. Stream of Foreign InvestorsDuring the recent years, there has been a steady yet low influx of investors in the Philippines due to several issues such as difficulties in securing PEZA accredited properties, tax reform programs, anti-western statements, etc.Fortunately, the Philippines is starting to take a turn for the better through reaffirmed connections with USA and China. It is because of so that Leechiu predicts a “Dramatic resurgence of IT-BPM industry,” this 2018. So what exactly does this mean for the Philippine real estate industry? Increased demand for office space in central business districts.

According to Leechiu’s report, foreign companies like JP Morgan Chase & C0., Emerson, Wells Fargo, Citibank, and Fluor will soon be taking up about 20,000 up to 30,000sqm of office space for the next few years. Said companies are also said to occupy prime CBD (Central Business District) locations including Bay City, Bonifacio Global City, Makati, and Alabang.

2. Growing Middle-Class Population

With the incoming stream of investors in the country, one thing that can highly affect the growing Philippine real estate industry is certain, more people will soon be employed, hence be able to invest in their own properties.

In most cases, higher salaries often lead to lifestyle improvements. Such changes may be through something as small as getting a new wardrobe, or as big as getting a new condominium. With President Duterte’s ongoing “Build, Build, Build” program that is said to attract foreign investors in the country, the Philippines will certainly experience a significant growth in middle-class population says Leechiu.

More Jobs plus Lower Taxes plus Lower Financial Interest Rates plus A Booming Real Estate Industry, sounds like the perfect equation for property investment opportunities right?

3. Increased Demand For Residential Properties in CBDs

It’s now clear that CBDs (Central Business District) will be receiving plenty of occupants in the form of investors and employees. In fact, high-end properties around Bonifacio Global City and Makati have already increased their prices to a staggering PhP 300,000 per sqm due to limited supply and increasing demands.

Where’s all this demand coming from you ask? With all that’s going on in the Philippine economy, you would think that the demands for residential properties in CBDs are from employees and investors. You’re not wrong, a lot of them are. But according to Leechiu, a huge chunk of these residential property investors are actually OFWs. Which brings us to the next reason why it’s still not yet too late for you to invest in real estate this 2018.

4. Continuous Value Appreciation for Residential Villages

Even though CBDs (Central Business Districts) may seem like the only prime spots to invest in today, don’t get fooled into thinking that you won’t be able to find good property investments elsewhere. You can also spot high value properties just around the neighborhood.

During the past decade, values of high-end residential properties in villages such as Dasmariñas Village, Forbes Park, Urdaneta Village, San Lorenzo Village, Bel-Air Village, and Ayala Alabang has gained about 300% up to 500% increase. That’s a huge jump considering that most properties around the country usually gain approximately 100% increase in value within one decade. It’s also a trend that’s not about to drop anytime soon, says Leechiu.

Share This

Leave a Reply

Your email address will not be published.