Philippine Real Estate Market – July 2011

So sorry for the delay in this newsletter as we’ve been swamped with inquiries and researching properties for personal clients has been more than just a challenge.  I will do a more comprehensive newsletter in a few weeks for now, I believe this will be sufficient to keep you abreast with the current real estate market.

Residential :

This segment has really appreciated in values specifically the primer subdivision lots.  Appreciation varies from a minimum of 15% to a high of 42% based on actual transactions.  The demand is high and inventory is low.  There are lots of buyers for the rare inventory available.  That’s the reason the appreciation in value.

Commercial :

There is a a reasonable number of land banking being done by investors ( both foreign and local ), developers and speculators who have increased drastically in the property market .  A “bubble” is still out of the question as we’ve got foreign groups coming in and banks continue to be conservative on real estate loans they are approving.  I was told that there has been  an increase in DTI application for corporations ( could this be a reason to buy properties ? )

Office :

There were so many residential condominiums built within the last decade and due to the continuous increasing demand in office spaces for business process outsourcing which has now expanded not just to more countries ( australia, canada, europe, etc. ) but to also more businesses ( animation, legal documention, etc ), major developers such as megaworld, ayala land, eton properties, smdc, robinson’s land, filinvest land have actually restructured their plans to fill this need which we generally believe will still be good for quite some time given the global economy.  For your info, we still offer the best rates ( sale or lease ), good infrastructure, great workforce, easy communication as most filipinos speak English, economic incentives and a lifestyle most expats prefer than other countries.

Industrial :

I’ve been working with several multi-nationals lately needing warehouses, commissaries and built to suit office warehouse buildings. This again is the effect of the global economy and the Philippines is a preferred location due to its location logistically. The demand remains strong and the effect of the recent calamity in japan is now more visible with some Japanese companies increasing their production locally..

Seller !

As a seller, it’s an option to sell if you’re children have already their own residential properties and upkeep for the property is unreasonable.  Also, from what I’ve experienced, it’s very much a seller’s market as some property owners put out their properties at a price that’s beyond the market value or either pull out their property in anticipation of even better times.  Remember, Europe and United States are still economically down so China, Singapore and Malaysia are our main competitors for shift of investments but our prices are much more competitive than theirs.

Buyer :

As a buyer and I am referring to quite a number of the ones we’ve been currently servicing, the normal reaction is that prices are outrageously high and that they would wait for prices to consolidate or go down.  Unfortunately, after a couple of months, they update the property and it’s been sold.  So, recently, we’ve seen more “ready buyers” that are willing to transact in order not to lose the property.

My next newsletter would be on the current market value of commercial properties which I had promised before.  Let me know if there’s any subject you want discussed.

I’ve recently uploaded an article on “LIS PENDENS” and “SALES PROCESS IN THE PHILIPPINES” for your reference which you will find useful.  Please check my blog section at my website : www.robertgsarmiento.org.

Below are our current prime properties worth looking into and our personal clients property requirements.  Should you have a match or know of a someone that may have or be looking for these properties, please call my office or email me.

Thanks always for your support.

PROPERTIES FOR SALE OR LEASE !

House and lot for Sale :

Forbes Park, Makati City
La=2700, Fa=1500 @ Php 230M
2 storey, 4br/ba, spacious family room, 2 living room, den lanai, swimming pool, basketball court
annex house, orientation northeast
https://picasaweb.google.com/118365685105404769013/Forbespark03?authuser=0&authkey=Gv1sRgCO2685Sq9-DXjQE&feat=directlink

3 storey, 4br/ba, den, lap pool, 2 parking slot

https://picasaweb.google.com/118365685105404769013/ValleVerde04?authkey=Gv1sRgCIjRtdCSgMLcXw&feat=directlink

Residential Lot

Ayala Alabang, Muntinlupa

720m2 @ 30T/m2 ( rush )

vacant lot, orientation east, perimeter

Warehouse for Lease

Thanks for your time and warmest regards.

robert

Robert G. Sarmiento Realty
Professional Affiliation :
Real Estate Broker’s Association of the Philippines
President, Greenhills Chapter, 2008 – 2009
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