The situation is evolving at a breakneck pace, and the pandemic outbreak has accelerated the rate of change even more dramatically. Aside from the shift in consumer purchasing behavior, various industries embrace millennial clients and tailor their sales tactics to suit their needs and preferences. The real estate sector in the Philippines is an excellent example of this transformation.
Suppose you’re considering purchasing a condo as an investment. In that case, it’s a good idea to be aware of the latest real estate developments so that you can make an informed decision about your investment. Here are only a few examples:
This is a contributed post and does not necessarily reflect the opinions of Meet The Harris Family.
The Main Buyers are From the BPO Industry
The business process outsourcing (BPO) sector is expected to continue driving real estate investment in 2022 and beyond. Increasing numbers of international businesses are choosing the Philippines for their offshore and outsourcing operations, which is expected to increase the leasing of condos and other properties over the next 18 months. Even though the COVID-19 epidemic has devastated many companies, the business process outsourcing (BPO) sector grows.
The Philippine Economic Zone Authority reported a 37 percent rise in commitments from investors for information technology and business process management projects in the country. It rose from Php8.32 billion in 2019 to Php11.4 billion in 2020, representing a 12% rise. In light of these increasing numbers, we may anticipate increased buy and lease rates in the real estate sector in the year 2022.
Rise of Demand in Coworking Spaces
Companies are seeking to lease additional space as the popularity of coworking spaces continues to grow, supplementing their main offices with local branches located close to their workers’ residences. This change will almost certainly be beneficial to coworking spaces. When different groups of virtual teams, contractors, and other freelancers work in a community environment, they benefit from the ease of working in the same place.
In comparison to the conventional workplace setup, this is an innovation. Individuals may no longer wish to return to the congested major business areas when the epidemic is gone. According to Colliers Philippines, flexible workplaces would grow by 10 percent in the next three years, which is an interesting prediction. A primary reason for this is because coworking spaces are not only popular with digital nomads but are also considered a viable choice for international outsourcing businesses seeking more flexibility.
Rise of Demand from OFWs and Millenials
The Philippines is one of the world’s biggest receivers of international remittances, accounting for almost one-third of all such transfers. In 2020, abroad Filipino workers would send a total of $29.9 billion to their family back home in the Philippines. The numbers continue to grow every year, providing many Filipinos with the financial means to invest in real estate assets abroad. The ability to own a condo or purchase a home becomes more accessible when your financial capacity has grown significantly.
Your decision on whether or not to use this as a private area or as a commercial opportunity is entirely up to you. According to surveys, most prospective home buyers are millennials between the ages of 25 and 34. This may be ascribed to their prowess in the use of technological tools. Indeed, this digital age often relies on their smartphones for nearly everything they need, from purchasing luxury products to ordering food and, more recently, home searching. The phone makes it simple to search for homes and interact with a real estate agent by tapping on the screen. It’s so easy to start looking for a house for sale.
Heightened Focus on Sustainability
Some of us have been thinking about how we could use the pandemic as a chance to rise to the occasion and build more environmentally friendly workplaces as a result of it. Companies, for example, are exploring different alternatives when it comes to altering the work environment. The epidemic has pushed companies in Metro Manila to implement environmentally friendly workplaces, which has increased the demand for office space. It is expected that about 37% of the housing developments that will come online in the next several years will be healthy living constructions.
Increasingly popular among prospective purchasers according to the technologically aware Generation Z, smart houses with built-in high-speed internet and innovative home capabilities are becoming increasingly prevalent on the real estate market. As demand grows, developers are urged to ensure that they have the appropriate digital infrastructure in place.
In conjunction with the changes brought about by the epidemic, the growing market for commercial, retail, and urban buildingshas continued to transform the real estate market into a more effective and feasible business. The real estate sector is set to flourish in the following decades, thanks to technological advancements that make it simpler for consumers to understand home-buying fundamentals.
