Rising hopes in the residential property market - BusinessWorld Online

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SPECIAL FEATURE | Opportunities abound in the property sector. As the world moves away from the pandemic, the industry has set its sights on recovery and it seems that surrounding factors are aligning to make it happen. READ:

Opportunities abound in the property sector. As the world moves away from the pandemic, the industry has set its sights on recovery and it seems that surrounding factors are aligning to make it happen.

“We are projecting a gradual recovery in rents and prices which should extend beyond 2022. Business and consumer confidence should spillover to the pre-selling market. Hence, we project a recovery which should start by the second half of 2022.” “We see the delivery of 10,500 units by the end of 2022, up 20%, with the Bay Area likely accounting for majority of the new supply. About 88% of new completion in the Bay Area will come from the four towers of SMDC’s Shore 3 Residences,” the report said.

“In our view, improvement in consumer and business confidence, and increase in Overseas Filipino Worker remittances provide a sense of optimism in the residential market. Data from the Bangko Sentral ng Pilipinas or the central bank’s Q1 2022 Business Expectation Survey showed the business outlook in Metro Manila improved to 35.7% from 20.1% in Q1 2021,” the report noted.

Mr. McCullough said demand for luxury condominium units will “remain stable” as the high net-worth individuals renovate units in the major central business districts on expectations of higher returns in the future.

 

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