Here are our expert condo buying tips to help you make an informed decision when purchasing a pre-selling condo in Cebu.
COVID-19 hit the real estate market dramatically. While the pandemic certainly did a number on the market’s previously upward trajectory, not all hope is lost.
The disruption has forced developers to implement price adjustments and adopt digital strategies to attract potential buyers and help the market get back on its feet. As a result, the real estate market is experiencing renewed interest. Several people are already eager to become homeowners or property investors.
With new properties becoming available all over the country, the real estate industry is molding itself to becoming a more human-centric business to cater to the growing demands of consumers because of the lockdowns.
Staying on top of the trends and latest market news is crucial to help first-time property investors make educated investments. The infographic below illustrates real estate statistics and facts potential property buyers should know when investing in real estate.
The Philippine Real Estate Outlook for Homebuyers and Property Investors
Even amidst the pandemic, the Philippines real estate market is projected to bounce back with a 7.8% growth in 2021. This forecast would still depend on the timeline of the distribution of COVID-19 vaccines and when countries start to ease up in reopening their borders. In the meantime, developers are offering low interest and mortgage rates, as well as flexible terms, to buyers.
The price adjustment trend is also apparent in residential units. Luxury condos saw a 13% price drop, mid-income projects are sold at a 16 to 20% discount, and down payments went from 30 to 20% or none at all. However, a 4% growth in condominium prices is expected during the second half of 2021 as the demand from investors and end-users gradually recover.
Demand is expected to rise over the next three years, following the recovery of remittances from overseas Filipino workers (OFW) and the COVID-19 vaccine rollout. Colliers International Philippines forecasts prices growing at a faster rate in 2022 as a higher take-up from Mactan and Cebu City are projected.
Developers are anticipating the needs of potential buyers—some have waived reservation fees, others have extended payment terms or offered lenient grace periods and offered other rewards to continue engaging buyers. As a potential buyer or investor, you will want to take advantage of these price adjustments and flexible terms.
A More Conscious Effort in Property Investing
Consumers, including home buyers and property investors, are becoming more mindful of their purchasing decisions. The same goes for the real estate industry—it is becoming increasingly aware of the environmental impact of turning land into developments. More property owners are now leaning towards green design, solutions, and systems when looking at properties.
Fortunately, there is now the Leadership in Energy and Environmental Design (LEED) in constructing and operating developments. Over 300 buildings in the country are implementing LEED guidelines, with half of them already LEED-certified. This certainly fits the criteria for property buyers in the 79% of Filipino consumers willing to pay more for sustainable products and services, including development properties.
Furthermore, the commercial and real estate sectors are familiarizing themselves with sustainable design and adapting it as a “must-have” rather than a “nice-to-have” requirement in property investment.
With the forced adoption of digitalization at work and in other aspects of people’s daily lives, many investors and homebuyers are looking into acquiring homes in low-density areas with peaceful and scenic environments. Beach homes and houses in the provinces near Metro Manila are growing within the interest of the wealthy.
Developers also saw a higher post-lockdown activity for exclusive subdivisions in provincial areas near the metropolitan. Additionally, 85% of experts believe that homeowners will be more willing to invest in outdoor living spaces in 2021. Since almost everyone has been restricted in their homes due to the pandemic, the demand for outdoor living spaces is projected to rise.
Opportunities Outside Metro Manila
If you’re looking for excellent property investments like a luxury condominium or a house and lot in upscale residences in prime locations outside Metro Manila, Cebu is worth considering.
Cebu is one of the most-visited tourist destinations in the Philippines. Beyond that, Cebu is among the rising business hubs outside Metro Manila. The province has become a strategic location for BPO, IT companies, residential communities, and shopping centers.
Indeed, Cebu has proven to be a rising lifestyle urban landmark and a promising location for real estate investment. Suppose you’re buying a luxury condo in Cebu or any type of property; in that case, you can expect growth in your investment as business opportunities and demand for real estate in Cebu rise.
The residences at Mandani Bay are a promising development that features modern living spaces designed with sustainable best practices that suit a world-class urban lifestyle. Mandani is a waterfront property strategically located along the Mactan Channel. This master-planned property will have residential condominiums, office towers, retail areas, a hotel, and expansive lifestyle spaces.
A Modest But Steady Rebound for PH Real Estate
The year 2020 was challenging for the Philippine real estate market. But as the country continues its efforts to control COVID-19, the real estate industry is expected to slowly but steadily recover. More opportunities await home seekers in the future, with more flexible deals in terms of price and payment terms. It’s safe to say that property investment remains a stable and secure investment option.
If you’re in the market for luxury condos or residential properties, consider Mandani Bay, a world-class waterfront development in Cebu where your urban lifestyle dreams are within reach.
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If you need further convincing to shift your priorities, this article will discuss the various reasons why location is a critical factor when buying a condo.
In this infographic, you’ll have a complete picture of the real estate industry post-COVID-19 and what it means for you as you look for a condo for sale in Cebu.