Property values slightly higher in second quarter

RESIDENTIAL property values grew marginally in the second quarter of the year amid higher prices of duplex, townhouse and condominium units, the Bangko Sentral ng Pilipinas ( BSP) reported.

The BSP over the weekend said its Residential Real Estate Price Index ( RREPI) rose to 117.5 in the April to June 2019 period from 117 a year earlier.

Prices of duplex, townhouse, and condominium units grew by 12.5 percent, 4.3 percent and 9.6 percent, respectively.

Meanwhile, prices of single detached/ attached housing units declined by 4.2 percent.

By area, the average residential property prices in NCR ( National Capital Region) increased by 5.2 percent, while those of AONCR ( areas outside of NCR) declined by 1.1 percent in Q2 2019 compared to Q2 2018 prices,” the BSP added.

In Metro Manila, the higher growth in prices of duplexes and condominium units offset the decline in prices of single detached houses and townhouses.

For the rest of the country, the drop in prices of single detached houses outweighed the increase in prices of other types of housing units.

By region, the NCR accounted for 43 percent of residential real estate loans granted in the quarter, followed by Calabarzon ( 27.4 percent), Central Luzon ( 8.9 percent), Central Visayas (6 percent), Western Visayas ( 4.3 percent), Northern Mindanao ( 3.3 percent), and Davao Region ( 3 percent).

“Together, NCR and these six other regions accounted for 95.9 percent of total housing loans granted by banks,” the BSP said.

About 73.4 percent of residential real estate loans granted were for the purchase of new houses.

By type, about 45.8 percent of residential property loans were for condominium units, followed by single detached/ attached houses ( 43 percent) and townhouses ( 10.5 percent).

The RREPI measures the average change in prices of different types of housing units over a period of time across the country.