Property for Sale – Philippines
Overview:
More than 7,000 islands make up the Philippines, but the bulk of its fast-growing population lives on just 11 of them.
Facts:
Capital: Manila
- Population: 104 million
- Area :300,000 sq km (115,831 sq miles)
- Major languages: Filipino, English (both official)
- Major religion: Christianity
- Life expectancy: 66 years (men), 73 years (women)
- Currency: Philippine peso
RESIDENTIAL PROPERTY FACTS
Price (sq.m): $3,952
Rental Yield: 6.13%
Rent/month: $2,422
Income Tax: 4.06%
Roundtrip Cost: 8.63%
Cap Gains Tax: 32.00%
Landlord and Tenant Law: Pro-Landlord
Where to buy:
- Manila City
- San Juan City
- Quezon City
- Valenzuela City
- Pasig City
Price History:
The Philippines’ residential property market has performed spectacularly, due to robust economic growth. During the year to Q1 2016, the nationwide residential real estate price index rose by 9.2% (8% inflation-adjusted), according to the Bangko Sentral ng Pilipinas (BSP), the country’s central bank.
Quarter-on-quarter, the index rose 1.9% (1.9% inflation-adjusted) in Q1 2016. The residential real estate price index, published every quarter, is based on bank reports on residential real estate loans.
By property type:
- Condominium unitssaw y-o-y price increase of 12.9% (11.6% inflation-adjusted) in Q1 2016
- For single detached/attached houseprices rose by 8.1% (6.9% inflation-adjusted) y-o-y in Q1 2016
- For duplex houseprices rose by 6.7% (5.5% inflation-adjusted) y-o-y in Q1 2016
- Townhouseprices rose by 8.5% (7.3% inflation-adjusted) over the same period
In the National Capital Region (NCR), residential property prices surged 9.7% (8.5% inflation-adjusted) during the year to Q1 2016 while in Areas Outside the NCR (AONCR), prices rose by 9.4% (8.2% inflation-adjusted), according to the BSP.
On the other hand, prices of high-end condominium units in Metro Manila’s CBDs rose at a much slower pace.
The average price of a luxury 3-bedroom condominium unit in Makati central business district (CBD) rose by a modest 2.4% (1.23% inflation-adjusted) during the year to Q1 2016 to PHP151,622 (US$3,203) per square metre (sq. m.), according to Colliers International – the lowest y-o-y increase in Makati CBD since Q3 2010. During the latest quarter, condominium prices increased 0.2% (0.2% inflation-adjusted) in Q1 2016.
Price rises also slowed in other major Metro Manila CBDs:
- In Rockwell Center, the average price for a 3-bedroom condominium rose by 5.5% (4.3% inflation-adjusted) to PHP162,500 (US$3,433) per sq.m., or a 0.2% q-o-q growth.
- In Fort Bonifacio, the average price for a 3-bedroom condominium increased by 2.6% (1.4% inflation-adjusted) to PHP150,000 (US$3,169) per sq. m., or a 2.6% q-o-q rise.
Foreigners cannot own land, but can own condominium units or apartments in high-rise buildings as long as the foreign proportion does not exceed 40%. They can also buy a house but not the land on which it is built. Leases on land up to 50 years, renewable for another 25 years, are available.
Rental Yields:
Last Updated: Oct. 21, 2016 |
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METRO MANILA – Condos |
COST (US$) | YIELD (p.a.) | PRICE/SQ.M. (US$) | ||
TO BUY | MONTHLY RENT | TO BUY | MONTHLY RENT | ||
45 sq. m. | 131,310 | 767 | 7.01% | 2,918 | 17.04 |
80 sq. m. | 268,480 | 1,602 | 7.16% | 3,356 | 20.03 |
150 sq. m. | 574,650 | 3,366 | 7.03% | 3,831 | 22.44 |
EASTWOOD CITY – Condos | |||||
50 sq. m. | 98,850 | 611 | 7.41% | 1,977 | 12.21 |
LEGASPI VILLAGE – Condos | |||||
40 sq. m. | 134,360 | 827 | 7.38% | 3,359 | 20.67 |
70 sq. m. | 239,050 | 1,521 | 7.64% | 3,415 | 21.73 |
120 sq. m. | 474,240 | 2,422 | 6.13% | 3,952 | 20.18 |
ORTIGAS CENTER – Condos | |||||
50 sq. m. | 107,850 | 801 | 8.91% | 2,157 | 16.01 |
ROCKWELL CENTER – Condos | |||||
50 sq. m. | 211,800 | 1,127 | 6.39% | 4,236 | 22.54 |
120 sq. m. | 494,160 | 2,518 | 6.11% | 4,118 | 20.98 |
SALCEDO VILLAGE – Condos | |||||
40 sq. m. | 113,760 | 696 | 7.35% | 2,844 | 17.41 |
75 sq. m. | 203,925 | 1,103 | 6.49% | 2,719 | 14.70 |
150 sq. m. | 365,550 | 2,232 | 7.33% | 2,437 | 14.88 |
Districts researched Eastwood City , Makati CBD, Ortigas CBD, Rockwell, Global City-The Fort Source: Global Property Guide Definitions: Data FAQ See also: Update Schedule |
Yields in Metro Manila are exceptional, by international standards. The highest-yielding units that we found are 50 square metre units in Ortigas (which have gross rental yields of nearly 9%).
The year before last we found that yields were surprisingly good generally on very large condominiums in Metro Manila (250 square metres), at around 9%
KEY HOUSE PRICE FACTS |
|
Square Metre Prices | $3,952 |
Rental Yields | 6.13% |
Rents | $2,422 |