Leading real estate services and advisory firm CBRE Philippines said in a recent briefing that the
residential industry continues to feed on strong demand from a broader market in 2012 and onward.
Rick Santos, CBRE chairman and CEO, cited bank lending rates are still on the downward trajectory, sustaining the liquidity in the financial system, political stability, the robust economic growth as factors sustaining growth in the industry.
Santos said that demand in the residential sector remains strong due to the increasing affordability of funds for housing acquisitions. The liquidity in the market enables developers to provide more affordable payment terms to buyers. Low cost of borrowing are likewise spurring development expansions in the residential/housing industry.
“The Philippines is experiencing democratization in the
housing sector -- from a nation of renters to owners -- based on low interest rates and financing schemes,†Santos affirmed.
An improved living standard for the Filipinos is one of the main economic objectives of the Aquino administration towards 2016. And a democratized housing industry given a low inflation and mortgage rate will allow every Filipino to own their own decent dwelling place, he said.
The single digit mortgage rate has democratized the housing ownership in the Philippines allowing Filipinos to buy rather than just being renters for life, Santos said.
In most cases, he said, monthly rent for a typical household dwelling in Metro Manila are now at par with house and lot or residential condominium products now available to a broader market base.
The modern Filipino household are becoming condominium dwellers attune to urban living within a live, play work environment. Thus, the demand for affordable condominium unit continues to grow year on year.
The reason most property developers are shifting to the development of reasonably priced condominium units around the Metro is to cater to the growing population who are empowered by the economy to own their dwelling place.
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Topic: Strong Demand of Real Estate in the Philippines (Read 863 times)