Real Estate Industry In The Philippines Statistics And Facts

The real estate industry is a key driver of the Philippine economy, generating gross value added of nearly 529 billion Philippine pesos in 2021. Due to the growing middle-class population and the sustained remittances from overseas Filipino workers (OFWs), Filipinos' purchasing and investing power in real estate properties had been gradually increasing in recent years.

Residential real estate in the Philippines

Residential real estate in the Philippines comprises a wide range of residential properties, from public and private housing to mid-range subdivisions, condominiums, and high-class villages. In 2020, a survey revealed that most Filipino households live in a single-house unit, with more than half owning the property or having an owner-like possession. For metropolitan cities like Metro Manila, renting apartments, purchasing rent-to-own units in subdivisions, and taking a lease in a condominium is quite common. The average selling price would depend on the area of the property, reaching as much as 220 thousand Philippine pesos per square meter for a condo unit.

However, the exodus of households from rural areas left the demand for affordable housing at an all-time high. As a result, there has been a growing and constant demand for socialized and low-cost housing among low-income families. On top of that, the Philippines’ geographical location makes it susceptible to natural disasters, further challenging the country’s housing situation. To address the housing gap, government agencies and the private sector adopted a resolution that would expedite the inventory of idle government lands and fast-track the development and release of socialized housing for the growing number of informal settlers.

State of commercial real estate

Commercial real estate, composed of office space, industrial, retail, and hospitality properties, is slowly recovering from the impacts of the COVID-19 pandemic. Office space demand is dominated by the IT-BPM sector, although the Philippine offshore gaming operators (POGO) industry is expected to return in the coming months. The vacancy rate of office spaces also shows improvements in the coming years as companies re-occupy office spaces.

Retail real estate has also shown improvements in the vacancy rate, especially in the cities of Taguig and Makati, where most shopping malls and retail outlets are located. Food, beverage, clothing, and apparel will continue to lead the country's upcoming retail real estate supply. This text provides general information. Statista assumes no liability for the information given being complete or correct. Due to varying update cycles, statistics can display more up-to-date data than referenced in the text.

Published by Statista Research Department, Jan 12, 2023 Research by Luzette Qader