In The Corner

Horizontal Developments Rise in Provinces Outside Metro Manila

High rise building by the bayHorizontal developments in nearby provinces from Metro Manila such as Cavite, Laguna and Batangas have increased over the last 20 years.

Enrique Soriano, executive director at Wong + Bernstein Advisory Group, said that this growth occurred despite the popularity of high-rise residences in the metro. More people have preferred to live in vertical structures in the past 10 years. However, a house and lot remains a viable option for many Filipinos.

Home Sales

According to Soriano, house and lot transactions still make up nearly 76% of the deals in the residential property market. The remainder comprises condominium acquisitions. In the CALABARZON region, several developers’ ventures in the residential property market seem to be paying off.

Soriano said that real estate companies sell between 3,000 and 3,500 homes every month in the region. Lancaster New City in Imus, Cavite, likely accounted for a share of the transactions.

A Lancaster review online on property websites such as Land Price List makes it easier to compare info from prices to the types of units.

This project, among many others, appeals to the end-user market, particularly among overseas Filipino workers, according to Joey Roi Bondoc, a research manager at Colliers International Philippines.

Reasonable Prices

Despite the growth of the country’s residential property market, rentals still outnumber outright purchases. Ivan Tan, S&P director for financial institution ratings, believes that even as home prices remain reasonable, the current rates are “frothy.”

The good news, however, involves the unlikely occurrence of a housing bubble anytime soon, Tan said. He added that a continually good economy and low unemployment in 2018 would support a trend of higher property prices, which would be driven by rent.

Conclusion

Many of us dream of buying our own home for ourselves or families. House and lots will continue to be a perennial choice for most Filipinos, due to affordability in general compared to other types of residential properties.