Philippine Properties still good bargains
Based on this article in the Philippine News website (http://philippinenews.com/article.php?id=3157) that says Philippine Real Estate still have good value because of the single-digit interest rates and the prevailing demand for Philippine Properties; — all this despite the recent global economic downturn. This came from an interview BPI Family Bank’s Vice President of the retail mortgage division, Ms. Jocelyn Sta. Ana.
Perhaps some would like to argue against her claims, but in my humble opinion, she is right for the simple two-word truth prevailing here in the Philippines – POPULATION GROWTH.
Below is an excerpt from that article:
Specifically for housing, Sta. Ana said today’s borrowers are “fulfilling a need.” Unlike in the past when a large segment of buyers got loans for investment purposes, today the bulk of housing loans are for the personal use of the borrowers. By her estimates, as much as 90 percent of today’s borrowers are end users. The situation is far different from a decade ago, just before the Asian financial crisis, when a large percentage of buyers were investors, looking to own property to either rent out or to grow in value with the intention of reselling them at a future date.
We are all aware that our country has a very fast population growth rate, and since shelter is a basic need of every human being, it is only natural that our demand for Philippine properties will continue to go up. And because there are only a few speculators unlike before, this would lead to a slow yet steady growth in the Philippine Real Estate Industry.
We only hope and pray that our Overseas Filipino Workers continue to bring in remittances regularly and that our Business Process Outsourcing industry will continue to be strong as forecasted, for these are the current pillars of the strengthening Philippine economy and also the Filipino’s purchasing power for Philippine Real Estate
