Manila, the bustling capital of the Philippines, is not only the country’s economic hub but also a lucrative location for real estate investments. With a growing population, a thriving business ecosystem, and a thriving market for urban development, Manila offers substantial opportunities for investors looking to grow their portfolio.
Whether you’re new to property investments or a seasoned investor considering this booming metropolis, this guide will walk you through 12 of the best ways to invest in Manila property.
Why Invest in Manila Property?
Real estate in Manila continues to draw both local and foreign investors thanks to its strong economic growth. Key contributing factors include high demand for residential and commercial spaces, a steadily rising number of expatriates, and favorable government policies for property acquisitions.
Here are 12 strategic ways to maximize your investments.
1. Buy Pre-Selling Condo Units
Pre-selling units (condos sold during construction) offer discounted prices and flexible payment options. They’re ideal for investors with smaller initial funds who are willing to wait for the property’s value to appreciate. Once completed, these condos can sell at significantly higher prices or be rented out for a steady income.
Tip:
Focus on reputable developers such as Ayala Land and SMDC for secure investments and high-quality property.
2. Invest in Prime Land for Long-Term Gains
Land in prime locations like Bonifacio Global City (BGC) or Makati remains one of the most reliable investments. Over time, invest Manila property values in these areas continue to appreciate, ensuring excellent returns.
Market Insight:
Manila land prices have experienced steady growth even during global economic slowdowns, making this a strategic long-term investment.
3. Rent Out Residential Properties
With a large expatriate population and a growing number of young professionals, demand for rental accommodations is high in Manila. Rent out apartments or condominium units in central business districts to secure consistent rental income.
Key Locations:
BGC, Makati, Ortigas, and Alabang are excellent areas for rental properties due to high tenant demand.
4. Invest in Co-Living Spaces
Co-living, a trend gaining traction globally, has found a growing market in Manila. These spaces cater to young professionals and students, offering a mix of affordability and community-oriented living.
Example:
Startups like MyTown are tapping into this by offering affordable yet well-equipped co-living spaces in metro neighborhoods.
5. Purchase Foreclosed Properties
Foreclosed properties are often sold below market value, making them an excellent way to acquire assets at bargain prices. After some renovation, these properties can yield high rental income or resale value.
Pro Tip:
Look for government and bank auctions that list foreclosed properties in Manila’s key districts for the best options.
6. Look Into Mixed-Use Developments
Mixed-use developments, where residential, commercial, and recreational spaces coexist, are in high demand among urban dwellers. Owning a property in such a development not only ensures higher market value but also provides a premium environment for long-term rental.
Example:
Developments like Greenhills Center and Nuvali offer amazing opportunities in this sector.
7. Venture into Airbnb Rentals
The rise of short-term rentals has made Airbnb a popular option for property investors in Manila. Tourists and business travelers often seek fully-equipped spaces that offer more flexibility than hotels.
Strategy:
Properties near major airports or tourist attractions, like Intramuros, are ideal for short-term rentals.
8. Develop Dormitories
Affordable dormitories are in high demand, thanks to a large student population in Metro Manila. Schools like University of the Philippines, De La Salle University, and Ateneo de Manila serve as excellent catchment areas for dormitory investments.
Consider:
Ensure your dormitory is well-maintained to attract consistent tenants and maintain competitive rates.
9. Invest in Commercial Spaces
With Manila’s thriving economy, commercial real estate offers stable returns. From retail spaces to small office blocks, business owners are always looking for prime locations to set up shop.
Key Tip:
Focus on central areas like Cubao or Makati for your commercial properties to attract high-quality tenants.
10. Buy Properties Through REITs
For those who want to invest in Manila property without directly owning real estate, Real Estate Investment Trusts (REITs) are an excellent option. They allow you to own shares in income-generating properties while earning dividends.
Current Options:
Consider Filipino REITs offered by leading real estate firms such as Ayala Land and DoubleDragon.
11. Flip Properties for Profit
Property flipping—buying low and selling high—is a profitable yet hands-on investment strategy. To succeed, focus on properties with value-add potential, such as foreclosed homes or older houses in need of updating.
Critical Step:
Conduct thorough market research to ensure you’re flipping in a high-demand area.
12. Partner with a Real Estate Developer
Collaborations with Manila-based developers can open doors to exclusive deals or allow you to co-invest in major projects. This approach minimizes risk and ensures access to high-performing properties.
Recommendation:
Seek partnerships with established names like Rockwell Land or Filinvest for guaranteed returns on investment.
Make the Most of Your Manila Property Investment
Manila’s dynamic economy and growing urban development make it an ideal city for property investments. Whether you’re flipping houses, tapping into Airbnb rentals, or investing in co-living spaces, Manila offers endless opportunities for crafting a profitable real estate portfolio.
Want expert advice in finding the right Manila property investment for you? Get started with Property Pulse today to access exclusive listings and property insights that deliver returns.
