Residential Prices Up 6.1% in First Quarter of 2024
Residential real estate prices in the Philippines increased by 6.1 percent year-on-year (YoY) in the first quarter of 2024, following a 6.5 percent rise in the fourth quarter of 2023. According to the Philippine Statistics Authority, prices rebounded by 1.1 percent quarter-on-quarter (QoQ) after a 3.6 percent decline in the previous quarter.
In the National Capital Region (NCR), prices rose by 2.8 percent YoY in Q1 2024, driven primarily by townhouses and condominiums, which offset a decline in single-detached/attached houses. In contrast, areas outside the NCR (AONCR) experienced a sharper YoY increase of 7.4 percent, with all housing types showing annual growth. QoQ growth was notably stronger in AONCR (4.1 percent) compared to the NCR, which saw a decline of 5.6 percent.
Of all residential real estate loan (RREL) transactions in Q1 2024, 83.5 percent were used to purchase new housing units. Single-detached/attached houses were the most popular type of housing financed (43 percent), followed by condominiums (34.7 percent) and townhouses (22 percent).
The NCR predominantly saw RRELs used for condominium purchases, whereas AONCR favored single-detached/attached houses. NCR accounted for 26.3 percent of all RRELs granted. Other significant contributors included CALABARZON (34 percent), Central Luzon (13.3 percent), Western Visayas (6.6 percent), Central Visayas (6.1 percent), Davao Region (4.8 percent), and Northern Mindanao (2 percent). Together with NCR, these regions comprised 93.1 percent of total housing loans granted by banks.
