The Philippine government’s $180 billion infrastructure plan will mostly dictate the growth of the real estate sector this year, according to Colliers International Philippines Top 10 Predictions For 2018 report.
The Build, Build, Build (BBB) program plans to bank on building more airports, bridges, roads, and railways across the country to fuel economic growth. As a result, Colliers expects this to unlock property values, particularly for properties outside Metro Manila.
Local and national property developers will closely watch the government’s infrastructure policy, so any decision they intend to make this year would mainly depend on the program. Still, other factors such as consumer spending, manufacturing, and foreign investments will prompt them to embark on new commercial and residential projects.
This will be important in lowering the cost of home prices. In the first nine months of 2017, Colliers said that only 7,400 units out of the expected 16,200 new properties were delivered due to project delays in the private construction industry. These delays stemmed from a shortage of skilled laborers, which will be a problem as well for the BBB initiative.
Despite certain industry headwinds, property developers will continue to search for building opportunities beyond Metro Manila. Colliers’ report included a trend of launching more mixed-use projects in provinces such as Cavite, where township developments included in Property Survey like Lancaster New City have become popular.
If you’re planning to buy a house or market a property in Lancaster, reviews online could help you compare prices. Aside from Cavite, developers are also considering Laguna and Bulacan for their next project, according to the report.
The overall outlook for the real estate industry remains positive, which is largely sustained by the government’s plan to spend billions on infrastructure. Do you think 2018 will be a better year for the property market?