PHILIPPINE REAL ESTATE LOOKING GOOD FOR 2022

In spite of several challenges impacting both global and local economies, the Philippine real estate sector had a good start this 2022. In its most recent reports, professional services and investment management company Colliers Philippines observed optimism across property segments.

Within the residential segment, its recorded demand increased by 640 units in the first quarter (Q1) of the year. Demand is projected to reach 9,610 units for the whole year. While only 560 units were recorded for the same quarter, which is down 86% year-on-year (YOY), supply is expected to pick up by 20% with the delivery of 10,500 units by the end of 2022.

They also found that rents declined by 0.2% quarter-on-quarter (QOQ), but it forecast rents and prices to increase by 1.5% and 2.7%, respectively, for the entire 2022. Vacancy, meanwhile, reached 17.8% and is expected to further recede to 17.2% by the end of 2022.

Overall, the residential market is marked with optimism as economic sectors are opening up and returning to on-site work is being encouraged.

Optimism is likewise seen within the mass housing market, as we leave the coronavirus pandemic.