INQUIRER STOCK PHOTO
MANILA, Philippines — It will take nearly six years to fully sell out the remaining residential inventory in Metro Manila, with new launches likely to remain tempered in 2025 as the vacancy rate may reach 25 percent.
Real estate investment management firm Colliers Philippines said in its 2025 Philippine Property Market Outlook Report that as of the third quarter of 2024, unsold inventory in the capital region reached 75,300 units.
Article continues after this advertisementOf these, 27,200 are ready for occupancy (RFO) and valued at P154.4 billion. The lower to upper mid-income segments, or those worth P3.6 million to P12 million per unit, accounted for 57 percent of the remaining RFO inventory.
FEATURED STORIES BUSINESS BIZ BUZZ: TVJ wins again BUSINESS Colliers: Clearing of MM residential inventory to take 6 years BUSINESS Jesus, CEOGeographically, Pasig, Parañaque, and Quezon cities had among the highest levels of unsold units.
“Reaching 4,000 stores is an incredible milestone that reflects the trust and loyalty we’ve earned from our customers over the years. It’s also a tribute to the hard work and dedication of our team” Philippine Seven Corp. (PSC) co-founder and chairman of the board Jose Pardo said in a statement Tuesday.
“Nearly 3 billion people and more than half of the world’s food production are now in areas where total water storage is projected to decline,” said the report by the Global Commission on the Economics of Water (GCEW).
Around 5.8 years is needed to sell all these units, or around five times longer compared to the prepandemic period. Back then, Colliers said the remaining inventory life ranged from 0.9 years to 1.1 years.
winstar4d slotArticle continues after this advertisementREAD: Colliers: Leisure projects to spur demand for residential assets
Article continues after this advertisement Vacancy rateIn 2025, the residential vacancy rate is seen to reach 25 percent from 17.7 percent in the third quarter, as the exit of Philippine offshore gaming operators is expected to have an “adverse effect” on the market, particularly in the Bay Area and Makati.
Article continues after this advertisementAs a result, Colliers said developers would likely “continue the shift to suburbia with lots-only and house-and-lot projects outside Metro Manila.”
Horizontal projects will also remain attractive, and developers are encouraged to build in Calabarzon (Cavite, Laguna, Batangas, Rizal, and Quezon), Central Luzon, Central Visayas, Western Visayas and Davao to cater to growing demand in these areas.
Article continues after this advertisement Golf communitiesBut with vacancy still high, Colliers advised real estate companies to “know your demand before you expand.”
In particular, it maintained that demand for golf communities and leisure properties would rise within and outside Metro Manila.
Subscribe to our daily newsletter
This is due mainly to the government’s push for golf tourism, greater interest from a younger demographicsmash bet, strong rental and price appreciation potential, emphasis on exclusivity and safety, interest from local and foreign travelers, and importance of open and green spaces, Colliers said.
READ NEXT Colliers: Clearing of MM residential inventory to take 6 years BIZ BUZZ: TVJ wins again EDITORS' PICK 340 firecracker – related injuries logged, so far – DOH Timely DOH reminder: Keep lungs, heart healthy World greets 2025 after sweltering year of Olympics, turmoil and Trump EDITORIAL: Overcoming adversity in 2025 Milan says no to all outdoor smoking in Italy’s toughest ban Bohol honors ubi growers, retailers MOST READ Palace still studying postponement of BARMM elections The highest-paying jobs in the Philippines for 2025 BIZ BUZZ: TVJ wins again PBA player Mike Nieto weds longtime girlfriend Follow @FMangosingINQ on Twitter --> View comments