A Primer on Buying Property in the Philippines

 

Buildings. buying property in the Philippines

Have you ever considered buying property in the Philippines? With the Philippines dubbed as one of the fastest growing economies in Southeast Asia, real estate in the Philippines is a good investment to look into.

According to the Asia Pacific City Investment Prospects 2017, Metro Manila is one of the top three most attractive city investment prospects in the Asia Pacific region. Makati, in particular, increased its land value by 13.85% last year.

And as of February 2018, rental yields of Metro Manila condominiums are at 7%–higher than the interest rates offered by other investment instruments like time deposits, bonds, and bank lending.

Needless to say, buying property in Manila is a wise investment choice. The only question is, how should you navigate the Philippine real estate market?

Here is a short primer on the things to remember when purchasing property in the Philippines.

Factors to Consider in Buying Properties

Purchasing a house and lot for sale in the Philippines is a huge investment decision. The following factors can help you decide on the property that’s right for you:

  • Type of property

You should know the type of home that befits your lifestyle.

Do you want to have a lot of space to move around in? Then consider getting a bungalow or single attached unit ideal for beginning families.

Are you happy living by yourself in the heart of the metro? A studio or one-bedroom condominium unit might just be what you need.

Want more living space than a condo? Consider townhouses.

If you would rather design your own house, purchase a vacant lot for sale in the Philippines so that you can call the shots.

There are so many properties to choose from, so assess your needs and wants to come up with the type of property that’s best for you and your family.

  • Developer

To ensure the quality of your home, purchase from a top real estate developer with a proven track record, strong industry reputation, and a sizeable capital like Alveo Land.

While the competitive prices of neophyte property developers may be attractive, gambling on them might burn you in the end. This is especially true for preselling homes since you won’t be able to see what you’re purchasing beforehand.

For instance, it may be harder for industry newbies to get approved for commercial loans to fund their projects, so once the initial capital is spent, the rest of the financing will have to come from the buyers. Once the funding stops, you might experience delays in unit turnovers and receive subpar deliverables.

  • Budget

Perhaps one of the biggest considerations in buying property is the price. Paying off a home loan is a long-term commitment, so you need to consider your monthly income and make sure that you can handle your total monthly payables, like amortization and association dues.

Most banks have a maximum loanable amount of 80% of the selling price, but it’s mostly based on the appraised value of the property, your monthly income, and your credit history. The bank or home loan agency will only let you borrow what they think is within your capacity to pay.

As a rule of thumb, set aside at least 20% of the purchase price to pay for equity. Add 5% for other fees and miscellaneous expenses.

  • Location

Choose a central location that’s close to public transportation, as well as establishments like hospitals, banks, markets, and other commercial areas. If you have kids, a home close to school is convenient. It’s also great to have your home near your workplace.

You should also consider the safety and security of your neighborhood. Is it flood-free? Is it along the fault line? Asking yourself these questions can safeguard you from natural calamities.

Pool. Purchasing property in the philippines

  • Amenities

Many property developers offer amenities to make their properties more attractive, such as swimming pools, clubhouses, open green spaces, gyms, and playgrounds.

Ask yourself which amenities you can’t live without. However, take note that these come at an extra cost in your monthly association dues, as these facilities need to be maintained.

Taxes and Fees Involved

Keep in mind that when buying homes for sale in the Philippines, the selling price is not always the final price. There are several taxes and fees that should be taken into consideration, as these affect the total price of the transaction.

Seller’s Responsibility

  • Income Tax

The sale of real estate property is part of the seller’s additional income, so it is subject to a 30% regular income tax.

  • Real Property Tax

Also known as amilyar, real property tax is the tax imposed on all forms of real property. Metro Manila properties have a tax rate of 2%, while properties located in the provinces have a 1% tax rate.

  • Value-Added Tax (VAT)

The 12% VAT on properties is only applicable to house and lots and condominium units above P3,199,200, as well as vacant lots above P1,919,500.

However, VAT-exempt properties are still subjected to a 3% percentage tax.

  • Capital Gains Tax (CGT)

The CGT is the tax imposed on the earnings that the seller has gained from the sale of capital assets-– properties that are not used in businesses.

CGT is equivalent to 6% of the gross selling price. It should be paid within 30 days after the transaction.

  • Documentary Stamp Tax (DST)

The DST is the excise tax imposed on documents and loan agreements regarding the sale or transfer of property. It is 1.5% of the selling price.

Buyer's responsibility. Purchasing property in the Philippines

Buyer’s Responsibility

  • Transfer Tax

The transfer tax is levied on any mode conveying ownership of the property. It is 50% to 75% of the 1% of the tax base for properties located in the provinces and Metro Manila, respectively.

  • Registration Fee

It is a fee paid for the registration of a Deed of Absolute Sale of a Philippine real estate for sale. It starts at P8,796 for the first P1.7 million, adding P90 for every P20,000 in excess.

  • Loan Fees

If you apply for a housing loan to finance your property purchase, you incur several extra costs as well, such as appraisal fee, handling fee, mortgage redemption insurance, and fire insurance.

Tips on Buying Real Estate in the Philippines

  • Make sure that the title and other documents are clean and authentic.

If you’re buying from an individual, get a Certified True Copy of the title from the Register of Deeds to make sure that the title is genuine. Verify that it’s clean, meaning all mortgages are paid, and there are no encumbrances at the back of the title.

You should also confirm that all real estate taxes are paid. Ask for a copy of the tax declaration and tax receipts.

  • Verify ownership and land size.

Another thing that you have to ensure is that you’re dealing with the real owners and property.

Ask for identification papers from the sellers, such as their passport or driver’s license. If possible, talk to the neighbors about the identity and personal history of the property owner.

To verify that the actual property you’re buying matches the technical description in the title, validate it at the Register of Deeds or hire a private land surveyor.

  • Check contract provisions.

If you’re buying from a developer, make sure that you check the provisions of the contract you’re going to sign, including the annexes. Your licensed real estate broker should be able to explain to you all the legal jargon and translate them into layman’s terms.

Notarize all signed documents and keep a copy for yourself.

  • Negotiate.

Don’t be afraid to negotiate the different terms of your contract, such as cash-outs, monthly installments, discounts, incentives, and interest rates.

If you’re buying a condo unit, you may also discuss certain modifications, as there are developers who entertain negotiations before construction begins.

  • Consult the experts.

Only deal with a licensed real estate broker or agent to help you purchase property in the Philippines. They should have a proven track record and extensive knowledge of the property.

Remember to be diligent when buying property in the Philippines. Purchasing property from a trusted developer like Alveo Land ensures that your property is of topnotch quality and design, built to stand the test of time. Its high resale value also makes it a viable real estate investment.

Visit here to find the property that’s perfect for you.

The To-do List for Real Estate Investors

Condo for real estate investments

 

 

 

Buying real estate in the Philippines is a bit like falling in love. Choose wisely, and it may end up being the best thing you’ve ever done in your life. Make a miscalculation, and it can be a long-term source of headaches. But how do you know which mistakes to avoid?

There are certain things investors in real estate need to consider before they take the plunge. Taken seriously, these key reminders may keep you from making major mistakes when your goal is owning land in the Philippines.

Think about the future

People generally start thinking of investing in real estate–like buying land in the Philippines–only when their current situation calls for it. For example, when they get a job promotion, a pay increase lets them afford a condo downpayment. They could also be transitioning between life stages and may need a home to settle in after marriage. However, considering buying a condo for sale or house and lot for sale is more than just about the present. The demands of the future will also need to be considered.

Investing in real estate is a commitment, especially if you are purchasing property that you plan to live in. Think about what the future will look like, and what needs will crop up then. A seemingly simple concept as pet ownership, for instance, can affect your investment. If you plan to adopt a furry four-legged companion, do remember that some condominium developments are more pet-friendly than others, which will narrow down your choices. Or when elderly parents stay with you, proximity to healthcare facilities and extra bedrooms are top issues to consider.

Buy within your means

Buying a house or a pre-selling condo takes a considerable amount of money compared to other purchases. Take the time to learn how much it will cost to own and maintain. The most practical solution is to talk to an expert with a calculator onhand, and track the expenses you will be making on your investment against your daily budget.

Even then, consider that there are some costs that are not directly involved in the property purchase, but still needs to be paid for. These include parking fees, association dues, and connection charges for utilities in condominiums.

House for real estate investments

Invest because it’s right for you and your family, not just because you can afford it

The construction boom happening in the country over the past couple of years leads to a practical implication for buyers: affordable prices. Condominiums for sale in the Philippines now come in a range of prices to suit an equally diverse range of budgets.

However, price should not be the only consideration when purchasing real estate: remember why you want to own land in the Philippines in the first place. If it’s meant to be income-generating (either through rental or an eventual sale), consider by how much the property will appreciate in time. According to sales expert Grant Cardone, “Properties historically increase in value as the net operating income of the property improves through rent increases and more effective management of the asset.” Do consider the ability of the developer or condominium association to maintain the property and help increase the value of your investment.

On the other hand, if you are purchasing the property for your own use, think about how comfortable you will be with the environment. Does it have the amenities you like? Is it close to your place of work or to your kids’ school? Finding property you enjoy will make it worth the price.

Observe the market to form the best strategy

In real estate, words like “seller’s market” and “buyer’s market” get thrown around a lot, which basically refer to the way prices are affected by supply and demand. If it is a seller’s market, then prices tend to rise because there are a lot of people who want to buy. On the other hand, a buyer’s market brings on lower prices because there’s not much competition to drive the rates up.

It seems pretty easy when it’s a buyer’s market since lower prices mean a better deal. But what do you do when the market isn’t where you want it to be? Surprisingly, the answer isn’t always to hold off buying. In the book Real Estate Investments and How to Make Them, author Milt Tanzer writes, “You cannot afford to wait until the perfect market opportunity for you arises. It may never happen.”

Those looking to buy property need to change their tactics depending on what’s going on in the industry. In a seller’s market, be open to buying in places other than your original choice. Find options like pre-selling condominiums, which give better deals. The upside to buying in a seller’s market is that you benefit from the high value, too.

Real estate is a good investment. It’s only a question of finding the right property to invest in, and remembering that a “good” investment is a personal definition. With an established reputation among real estate developers in the Philippines, Alveo Land’s portfolio provides a great variety to choose from. Its developments are located in established cities such as Makati, Pasig, and BGC, or upcoming districts such as in Arca South. Its latest tower, Park Cascades, is a noteworthy option, with its accessible and secure location in Taguig.

When buying property in the Philippines, many factors including property valuation, location, and especially construction quality, should all be taken into consideration when looking to invest in real estate. Learn about your best options here.

Wise Investment Tips from Financial Experts

Wise tips from finance experts

investment tips from finance experts

Most articles on investment and making financial decisions follow the same outline. First, save for a rainy day. Second, invest wisely. Then, there’s a short discussion on interest rates and inflation.

Reality, though, has a way of changing its course. Here, we list down some common financial situations, and how best to respond.

Real Life Situation No. 1: “I want to save and invest but after paying the bills, I don’t have much left.”

Saving is not always part of the typical Filipino household’s budget. In fact, based on Bangko Sentral ng Pilipinas’ first quarter 2017 Consumer Expectations Survey, 45.1 percent of families said that they had some savings kept away.

In the Philippine Daily Inquirer column Money Matters, author and financial expert Randell Tiongson writes about the importance of increasing cash flow. He writes, “As your cash flow improves, you will begin to generate more savings.”

There are many practical ways to do this. The simplest one is finding ways to reduce expenses, so you have more money left for savings. The most effective long-term method is to find ways to increase income.

Invest in your career, either through experience or further education, to make yourself more valuable. Pay generally increases for those who have the proper credentials.

Adding to your income stream is also another way to improve your financial position, like taking advantage of freelancing opportunities. Even hobbies, such as baking or blogging, can be made into money-making endeavors.

Real Life Situation No. 2: “I don’t want to work until I’m 80. What should I do?”

In an article for Entrepreneur Philippines, Henry Ong, president of Business Financial Advisors, writes, “In order to achieve your financial goals, you need to create a strategic plan that will provide you a roadmap to financial freedom.”

The University of Missouri suggests these steps in creating a personal financial plan. First, think about your current financial position. Then make a list of your assets (the things you own) and your liabilities (the things you owe). When your list is complete, think about your financial goals. How do you envision your future? What are some of the expenses you foresee? In this stage, it is important to know the difference between needs and wants. The goals you set must be realistic.

Having points that are doable is the difference between having a plan and a dream. For example, if your plan is to set aside a certain percentage of income each month for savings, that amount must not dip into the food or rental (or mortgage) budget. You will always need to eat and have a roof over your head, but you can reduce expenses for leisure or clothing.

Having a specific plan will make it easy for you to see and evaluate your financial state, and whether or not you are achieving your goals.

investment tips from finance experts

Real Life Situation No. 3: “There are so many investment opportunities. I don’t know where to start.”

The strange thing about information is that too much and too little can both be confusing. This is also true when it comes to investment opportunities. There are many investment options available: stocks, bonds, businesses, and time deposits are just the tip of the iceberg.

So invest only in things that you are confident you can handle. For example, if you are unsure if you can handle day-to-day operations and decision-making, then a business is not right for you.

A feasible option for most people is to invest in real estate. In the column Broker’s Report, Christina S. Avendano writes, “The positive thing about real estate is that, even in a bad economy, it is still better than other forms of investment…basic accounting states that you do not depreciate land, and its valuation will just be a matter of supply and demand.”

When it comes to real estate investment, focus your resources on property that has the largest potential for growth. Where the property is located, how secure it is, and the amenities it provides are usually major considerations for investors.

Alveo Land, one of the best housing developers in the Philippines, offers a wide range of options. Properties are located all over the Philippines–from Makati, BGC, and Quezon City, to Laguna, Davao, Cavite, and many other locations in between. When investing, choose the right developer with a proven track record for real estate in the Philippines.

Learn more about Alveo Land’s properties here.

Your Portfolio by Life Stage

Asset allocation is one of the more basic investment concepts that is most often neglected.

The concept behind it is quite simple: the percentage or allocation of your assets between bonds, equities, and the like should change as your life stage does too. Your investment horizon, your need for liquidity, and your capacity to take risks will then change as you grow older.

“As you go through life’s different stages, your financial needs change,” agrees Alvin T. Tabanag, personal money management coach, registered financial planner, and best-selling author of ’12 Steps to Build Wealth on Any Income.’ “In your 20s and 30s you will mostly be concerned with addressing needs related to starting and building a family: a wedding fund, building your own home, stuff for the house, a new car, and your children’s college education fund. As you enter the mid-life stage, focus shifts to more long-term needs.”

The “100 Minus Age” Formula

So how does one know how much of each asset to have?

One of the most simple rules used is the “100 minus age” formula. In it, one simply subtracts their age from 100 to determine what percentage of their investment allocation should go to stocks or equities.

So, for example, someone who is 30 years old should have 70% (100 – 30 = 70) of his investments in high-risk, high-yield investments such as stocks. Similarly, someone who is 60 years old should have no more than 40% (100 – 60 = 40) of his assets exposed to the volatility of equity investments.

However, with the improvements in medical technology and the increase in life expectancy, the ‘100 Minus Age’ formula has come under some scrutiny. As more people reach their 80s and 90s, the need for their finances and investments to continue passively working into their 70s becomes more important.

Thus, financial advisors have been looking at a more progressive (and slightly more aggressive) asset allocation strategy.

Those in their 30s are often in the middle of raising young families. They have one or two children in grade school, or are single professionals who are deeper into their careers as middle managers, senior managers, or junior executives.

People at this life stage are knee-deep in generating active income, and have a relatively longer investment horizon. Thus, investors in this life stage have a larger capacity for equity investments. However, people in this life stage are also usually building assets through leverage such as a car or a house, and with hefty expenses such as school tuition fees.

Real Estate across Life Stages

What’s interesting to note is that real estate investment is a key asset that should always be present regardless of life stage. Property investments–specifically, buying property in the Philippines and investing in condominiums for sale–are always a good idea as they steadily increase in value over time. They can also be a source of both active and passive income when managed properly.

Visit here to find the best property for you today.

Cryptocurrency–What is It and Why are People Investing in It?

Cryptocurrency is a form of money that’s used entirely online, without the need for banks or an exchange of physical cash. It may sound difficult to understand at first, but it’s real, and it’s here.

Cryptocurrencies are named as such because they are secured using cryptography, a method of encrypting data such that it can be accessed only by those it was intended for. The very first cryptocurrency, Bitcoin, was founded in 2009 by one Satoshi Nakamoto.

Bitcoin was originally intended as a “peer-to-peer electronic cash system” where currency gets traded between two entities without having to use a middleman such as a financial institution. Unlike traditional currencies, cryptocurrencies are entirely digital, residing only in the Internet. They are not regulated, nor are they secured in a bank or backed by precious metals. They also can’t be printed or minted. Instead, they are mined on computers, which entails solving highly-complex cryptographic puzzles that become only more difficult and expensive as a particular cryptocurrency grows more popular.

How Do They Work?

Cryptocurrencies exist thanks to a technology called a blockchain. You may think of blockchains as enormous online ledgers that contain all the transactions ever made with that particular cryptocurrency. So if you were to give X amount of coins to your friend Alice, that transaction gets validated on the blockchain and broadcasted across the network through peer-to-peer sharing. Once confirmed, this anonymous transaction becomes set in stone—it cannot be changed, forged, or removed. It also means that cryptocurrencies are decentralized and unregulated by any authority (at least for now).

Nowadays, people equate cryptocurrencies to Bitcoin, but many other types exist and the list keeps growing. Among the most popular are:

  • Ethereum – launched in 2015. Aside from being a cryptocurrency, Ethereum is an open-sourced software platform that enables developers to build applications. By using programs called Smart Contracts, Ethereum facilitates the exchange of value, such as money and content.
  • Litecoin – created in 2011 by former Google engineer Charlie Lee. Resembles Bitcoin, but features quicker block generation for faster confirmation of transactions.
  • Ripple – Launched in 2012, Ripple differs from Bitcoin in that its consensus ledger doesn’t need mining. This makes it attractive for businesses and banks in that it uses less electricity and computing power.

Why Invest in Them?

The digital nature of cryptocurrencies makes them useful in various ways.

  • Global Reach – it doesn’t matter where you are; you may send cryptocurrencies to anyone in the world.
  • Security – True to their name, cryptocurrencies are highly secure and anonymous. They are not kept in a file which can be hacked or stolen. To trade with them, you use two addresses—a public one which you can use to accept cryptocurrencies, and a private one by which you can send cryptocurrencies.
  • Growing Acceptance – In the past, it was difficult to find any merchant who would accept cryptocurrencies. Now, however, you may use them to pay for a variety of things. Bitcoin remains the most widely accepted, but others like Ethereum and Ripple are catching up. Click here for a list of businesses that accept cryptocurrencies.

Of course, the main reason why cryptocurrencies are a hot topic right now is because they’ve made a lot of money for a lot of people.

To illustrate, Bitcoin prices peaked at $1,165.89 in November 2013 before taking a nose dive. But in late December 2017, it hovered around a mind-blowing $14,000. Which means if you mined 50 Bitcoins in 2009, they were worth a whopping $700,000 or above Php 35M at the tail end of 2017.

Bitcoin is not alone in this. Ethereum, while only second to Bitcoin, recorded a meteoric rise of 2700% from May 2016. As a new form of money, cryptocurrencies have attracted worldwide attention and—given how the market has pushed their prices to dizzying heights—are considered among the hottest investments to date.

Before you rush online to grab some coins, however, take heed: as previously illustrated, the one thing you can count on with cryptocurrencies is volatility. If you go in right when the bubble bursts—and that can happen at any time—you stand to lose it all. Cryptocurrencies aren’t backed by anything. There is no safety net.

One viable strategy is to use any realized gains from cryptocurrency investing to purchase tangible or hard assets—assets that gain more value over time. So if you won big in Bitcoin, for example, know when to quit. Remember, the only time you make money from investing in cryptocurrencies is when you cash in any gains.

You can use your winnings to purchase government bonds, or even better, high-end real estate currently available on the market. These go up in value over time, are not as volatile as cryptocurrencies, and are backed by actual value. Alveo Land, in particular, is a top real estate developer in the Philippines that offers a multitude of residential, office, and leisure investment choices all over the country. You can learn more about their portfolio, particularly their condominiums for sale in the Philippines, here.

Regardless of these caveats, it seems that cryptocurrencies are here to stay. Even if the cryptocurrency bubble does burst, it’s a good bet that once prices stabilize and start climbing again, it will become a good investment in the short or medium term.

Getting into the Game

The first step is to study the cryptocurrency market. Ask yourself: which currencies will you invest in? When will you buy? At what point will you sell?

Then to actually trade with cryptocurrencies, you need a cryptocurrency wallet, an application that lets you interface with a cryptocurrency network much like an e-banking application lets you interface with a bank. Wallets do not actually physically store any currency you own. Instead, it contains your public and private keys, which you need to perform transactions.

There are many kinds of wallets depending on the cryptocurrency you want to use, so choose one according to your strategy. From there, you can purchase currencies from cryptocurrency exchanges such as Bittrex.com or Quionex.com. However, bitcoins are so popular you can buy them from Unionbank, participating 7-11 branches, and withdraw them into Philippine pesos at Cebuana Lhuiller branches, among other places.

Once you do buy bitcoin or invest in any other cryptocurrency, you could look towards investing in real estate. If you’re looking for the right property for sale in the Philippines, check out properties developed by one of the top developers in the Philippines. Click here to know more about Alveo Land’s condominiums for sale.

The (Real) Investment Scenario

 

The Philippine Stock Exchange Index (PSEI) hits all-time highs in October, even breaking the 8,500 mark in intraday trading by mid-October. Matching a similar trend among several US and major Asian indices, this was buoyed by the government’s announcement of the liberation of besieged Marawi City, as well as some active foreign investments. The market is also up by 9% compared to the same period last year; and around 20% since the start of the year. Some market observers expect that this trend will continue, and even breach 8,600 before 2017 ends.

But while the general uptrend is a good sign of investor confidence, it has been a volatile past 12 months for the Philippine Stock Market. In fact, the PSEi bottomed out at 6,499 sometime in December 2016 to a 52-week low. It also dropped by roughly 1,000 points in just a 60-day span almost a year ago  (between October and December 2016).

This is the scenario today: inflation is at a steady 3%, GDP is forecast near 7%, the peso is weaker at PHP51=USD1, and there is a lot of political noise inside and outside the country. Because of these factors, there is little consensus whether the PSEI will breach 8,600, or fall steadily and settle somewhere at the 8,300-level. As in the world of stock investing, no one knows when and where the market will go.

Investing with Stability

While investing in stocks is, and should be, part of a balanced portfolio, investing in more stable, less-volatile assets should also be part of your investment mix. Hence, investing in real estate always makes good sense.

The value of real estate investments gradually but steadily appreciates over time. This means that it does not have the volatility associated with the day-by-day or hour-by-hour fluctuations of the stock market. In fact, a recent report shows that residential property value in Metro Manila has grown by around 3% on a quarter-to-quarter basis, and is projected to increase by 6% to 9% in 2018 on a year-on-year forecast. It is not as dramatic as the 20% YTD increase of the stock market, but not too bad, either.

Real estate investments can also be both self-liquidating assets and sources of passive income at the same time. You can lease your property to interested parties, and the rent can be used to pay for the mortgage you may have taken out. The same report shows that residential rental yields in the Philippines are at 5.5%; the second highest rate in Asia.

So make sure to put your money in an investment with a trusted property developer that has a track record of high-quality developments. If you’re looking for ideal condominiums for sale in the Philippines, both Callisto in Circuit Makati or Park Cascades in Arca South, Taguig are great choices. If you want to be in the middle of everything, Orean Place at Vertis North, Quezon City or Portico in Pasig are your best bets. And if you’re looking to invest outside of Metro Manila, there are property options such as Aveia in Laguna or Patio Suites in Davao to choose from.

Regardless of what you’re looking for, Alveo Land can offer the right real estate investment for you. To know more, click here.

Soon to Rise: New Property Hotspots for Investments

Photo is for illustrative purposes only

“Location, location, location” is the key advice for real estate investments. Proximity to commercial and medical centers, access to major roads, and cost of living all figure into this important decision.

It helps to narrow down the list. While not as seemingly in-demand as top condominiums in BGC or Makati (be it both in terms of pre-selling and RFO), here are some locations that still show great potential for a good ROI. If you’re looking to invest in Philippine real estate, snap up these locations before their prices peak.

Quezon City Memorial Circle

1. Quezon City

As the largest city in Metro Manila with a population of 3 million people, Quezon City richly deserves a place on this list of prime real estate investments. Its latest CBD was touted by a World Bank study to be “the center of gravity of all commercial activities in the coming years.” This district has it all: major shopping centers such as Trinoma Mall, your choice of internationally accredited hospitals, three major transit stations along main thoroughfares, golf courses, and parks. Once the MRT-7 train line is completed by 2019, Quezon City will see even higher foot-traffic and an uptick to its already considerable asset value of P31.92B. Small wonder that QC ranks second only to Makati as the richest city in the country.

Top pick: Take a look at Alveo’s Orean Place in Vertis North, an address master-planned for centrality, connectivity, and efficiency as QC’s new city center. Currently, Seda Vertis hotel and Vertis mall is fully operational for everyone to enjoy.

Also located near recreation centers like Ninoy Aquino Parks and Wildlife, one of the last lungs of a densely-populated metro.

Photo is for illustrative purposes only

2. Pasig City

Pasig has plenty to offer. For decades, Ortigas Center was the target commercial district and site of prime real estate investments for small businesses and large corporations alike. With the rise of BPOs, residential demand has shot up as well.

Pasig boasts of a perfect blend of residential and commercial spaces, with neighborhoods just minutes away from the business district. Given that, Zipmatch has rated Pasig residences in Maybunga, Kapitolyo, and Ortigas Center with high rental yields of 9.37 to 10.29%, beating the national average of 7%. Expect these figures to skyrocket as the P1.6B road project linking Ortigas Center to BGC nears its 2020 completion date.

Top pick: Portico in Pasig is the top pick on the investment list because of its access to the Pasig CBD, Kapitolyo, and the aforementioned Ortigas-BGC link.

3. Pampanga

Manila proving too crowded? It may be time to look elsewhere, and the relatively nearby province of Pampanga makes for a prime candidate. Located at the heart of Central Luzon, Pampanga straddles both the North Luzon Expressway (NLEX) and Subic-Clark-Tarlac Expressway (SLEX). It also has its own airport—Clark Airport—as a gateway to the rest of the world. And given its lower cost of living compared to Manila, Pampanga provides excellent real estate investments in the Philippines.

Apart from ease of travel, Pampanga is seeing robust growth in its population of 2.6 million, its agricultural and manufacturing industries (9.5% GDP; the rest of the nation’s GDP averages at 6.5%), and its BPO sector in the Clark Free Zone area. Angeles City and San Fernando in particular have seen a rise in shopping malls, resorts, and hotels.

The most exciting recent development, however, is the P12.55B expansion of Clark Airport slated for 2019, which may turn that area into Asia’s next aerotropolis. It’s little wonder, then, that Pampanga is seeing an enormous demand for real estate, with Ayala Land developing Alviera, a sustainable community in the municipality of Porac.

Top pick: Buy a lot in Alveo Land’s Montala, located in a key location within Alviera.

Photo is for illustrative purposes only

4. Laguna

Those looking for peace and quiet outside the bustling city can consider the province of Laguna. The province is seeing an influx of housing projects as the demand for space heats up, particularly from OFWs looking for living spaces in the suburbs. Along with the manufacturing hubs and BPO offices, this has contributed to Laguna’s rank as the 8th richest province in the country. With the extension of the South Luzon Expressway Toll Road 4 (TR-4), this will mean easier access to and from southern provinces like Quezon and Batangas, contributing to the province’s wealth.

Arguably, Laguna’s greatest draw is its lush green countryside, relatively free from the traffic and air pollution that perennially plague Metro Manila. With a density of only 1,081.8 persons per sq. km., lots for sale in Laguna are found in naturally peaceful communities, a perfect fit for those looking to live in a quieter environment. It’s also close to popular tourist and vacation spots such as Tagaytay and Batangas, where a host of places for leisure and relaxation are just a few hours away.

Top pick: Aveia, in particular, offers a quaint community strategically close to both the Laguna Techno Park and Laguna International Industrial Park, while being only 15 km away from the Alabang CBD.

5. Davao

If your tastes run farther south, you can look into Mindanao’s industrial, commercial and financial center: Davao. Davao City boasts of a phenomenal 9.4% GDP, while its cost of living and doing business are 20% lower than that of Manila, according to Numbeo.com. Despite its 1.6M growing population, Davao City is also among the safest cities in Southeast Asia, with High Numbeo ranking in terms of Quality of Life and Low in terms of crime. This makes Davao a sound choice for real estate investments.

Davao City is a prime target of the current administration’s “Build, Build, Build” program. Already home to five top universities, an abundance of national banks, shopping centers, churches, park areas, and commercial districts, the city is also working with Japan to develop a P19.81B by-pass road that will cut travel time along major roads by nearly half. Along with other projects in the works, this will doubtless push up Davao City’s current asset value of P9.89B.

Top pick: Located in the Abreeza district, Patio Suites is a prime investment choice given its easy accessibility to the Abreeza mall, Seda hotel, and the Abreeza Corporate Center.

To learn more about Alveo Land projects in these locations, visit www.alveoland.com.ph.

Photos are for illustrative purposes only.