The Philippine Real Estate Market in 1Q2023

[kevin Kim]

In this quarterly report, KB Realty Group explores the infrastructure projects and programs seen to impact the real estate market in 2023. Discover which projects are prioritized in the coming years, and the regions where they are located.

Luzon holds the highest number of infrastructure projects in the priority list, with the National Capital Region having the largest concentration of projects compared to all other regions in the Philippines. These include significant investments in easing land and air travel throughout Luzon, with the infrastructure priority list including railway extensions improving access from the north of Luzon to the south of Luzon as well as airport projects in Central Luzon and Northern Luzon.

The list also includes the Metro Manila Subway Project — the first underground rail in the country. Projects expected to be completed this year include three segments of the South Luzon Expressway Toll Road 4 – extending from Sto. Tomas, Batangas to Tiaong, Quezon – which are expected to be completed by December 2023. There were also several irrigation and water supply projects throughout Luzon, and three healthcare facilities in the works.

Key Takeaways from KB Realty Group’s 1Q2023 Outlook Quarterly: A Wrap-up of the Philippine Housing Market in 2023 

• Online property search behavior on KB Realty Group has remained consistent. Luxury properties and affordable rentals continued to perform strongly. Major administrative hubs attracted the most leads in 1Q 2023. 
• Singapore was the leading source of overseas inquiries. Singapore was once again the overseas location that contributed the most pageviews and leads to KB Realty Group. Makati followed by Quezon City were the cities most inquired by property seekers from Singapore.
• Growth can be expected in the industrial and hospitality sectors throughout 2023. These are driven by more foreign direct investments following the approval of the Regional Comprehensive Economic Partnership, and a revitalized tourism industry supported by travel promos and eased regulations.
• Opportunities for real estate market abound as government sets new infrastructure priorities. The release of the 2023 infrastructure priority list signals prospecting property buyers and sellers to closely observe the progress of identified projects in the locations they have interest in, as these influence the value of their prospective investments and sales.
• Cebu Province has consistently been among the top ten most inquired locations on the platform. KB Realty Group expects more interest from property seekers in areas where the Cebu Bus Rapid Transit stops will be located. Lamudi sees more online real estate activity expand as physical connectivity improves.