This article on Metro Manila condo demand appeared in the Dot Property Group Metro Manila Condo Market Report 1st Half 2022. Download it here for free!
The return to work has caused Metro Manila condo demand to soar during the first half of 2022. Between the fourth quarter of 2021 and first quarter of this year, Dot Property Group, the Philippines largest real estate network, recorded a 17.8 percent increase in inquiries. That was followed by a bigger jump in the second quarter when interest rose by 28.2 percent when compared to the previous three months.
Companies resumed in-person operations in the early stages of this year with most being 100 percent onsite by March. Many employees who had retreated to the suburbs during the pandemic began actively looking for condo units closer to the workplace.
This is in line with more general real estate market trends being seen in Metro Manila at the moment. According to Santos Knight Frank, retail vacancy fell to 4.6 percent in the second quarter which is nearing pre-pandemic levels. Meanwhile, Leechiu Property Consultants reported that office demand doubled in the National Capital Region during the April-June period.
Further highlighting the reality that more people want to live closer to work is the fact Taguig and Makati were the locations with the strongest Metro Manila condo demand. These two areas, which are home to several key business districts, accounted for 46.1 percent of all inquiries during the first half. Quezon City, City of Manila and Pasig round out the top five locations for condos.
Metro Manila Condo Demand By Price in the First Half of 2022 (% of Total Inquiries)
In terms of cost, Metro Manila condo demand was spread across the market. Units priced at PHP5 million and below were most popular and they comprised nearly 40 percent of all inquiries made to the Dot Property Group during the first six months of 2022. The mid-range and luxury segments also saw strong demand.
Studio and one-bedroom units made up almost half of all interest. This comes as no surprise given these make up the bulk of supply. However, multi-bedroom units do appear to be more popular post-pandemic and developers will need to take this into account when launching future projects in Metro Manila.