With more real estate opportunities opening up in Asia, it's easy to see why investors are shifting their attention to cities like Manila. Real estate in this region is an exciting and profitable venture for prepared investors. If you are eager to take on this business idea, here are some questions and answers to guide you.
What is real estate in Manila like?
Manila real estate is a thriving business. Consider that prime business hubs such as Pasig, Taguig, and Makati have multiple housing and commercial district plans currently under construction.
You may be wondering why mention Pasig and Makati when all you know is you want something in Manila. To set the record straight, Manila is a common reference point when discussing a large area called Metro Manila. Manila is a city within this region. It also has many commercial areas, but the currently developing areas are in Pasig, Makati, and Taguig.
Many local financial analysts are excited with these places because developments look promising. Commercial and residential areas are nearer each other and this creates more trade interactions. These areas are bound to produce business opportunities for interested investors and employment for locals.
Are real estate prices in Manila reasonable?
Manila real estate prices are definitely worth every penny. Investing in a property near business districts can open you to endless income opportunities. Many buyers will be interested in it and you can sell it easily to the highest bidder.
For instance, you can lease it to employees who need living arrangements closer to their workplace. Monthly rentals could be a stable revenue source that needs only periodical maintenance work on your end. If the property is in a prime commercial slot, you can lease it to companies or consider opening your own business.
What property should I buy?
Multiple properties are available including houses and condominiums. Among these choices, however, Manila condos are more practical if you are a foreigner looking to establish a residence here.
Philippine laws prohibit foreign nationals from owning lands. If you buy a house, you buy the structure, not the land it stands on. You cannot give away the land or have a family member inherit it given that the government could deem the transfer illegal.
A condominium is more practical because foreigners can enjoy its amenities and services to the fullest. Many Manila condos today are under pre-selling schemes. Real estate developers offer the condos to interested buyers before they begin the construction process. Later, buyers could live in these residences or sell the property at higher prices. The strategy is like paying dimes on the dollar for the condominium as you buy at a low cost and sell at a high cost to rake in revenue.
If pre-selling sounds too risky, you can always invest in condominiums. Lesser risks are involved in this venture as the structures are already in place. You can move in anytime after paying a certain percentage of the condo price or choose to sell what you bought.
If you have yet to make up your mind about Manila condos or any other property, do not be upset. Maybe you just need to have more information and time to decide. Consult local real estate brokers to get a better idea on what investments fit your style and budget.