PHL residential prices rise in Q3—BSP data

THE residential real estate prices of various types of new housing units in the Philippines rose faster in the third quarter of the year 2022 by 6.5 percent year-on-year and 4.6 percent quarter-on-quarter, data from the Bangko Sentral ng Pilipinas showed.

By area, residential property prices increased in the National Capital Region and areas outside the NCR, but declined quarter-onquarter outside of Metro Manila.

On a year-on-year basis, residential property prices in NCR and outside of Metro Manila increased by 17.5 percent and 2.3 percent, respectively, primarily driven by the increase in the prices of condominium units and single-detached or attached houses, which outweighed the decrease in the prices of townhouses.

On a quarter basis, residential property prices rose by 14.6 percent in the NCR, but contracted by 0.4 percent outside of NCR.

Likewise, prices rose across housing types, except townhouses, the BSP said.

In the third quarter, prices of duplex housing units, condominium units and single-detached or attached houses contributed to the yearly growth in the nationwide real estate prices as these prices increased by 26.7 percent, 19.2 percent and 9.8 percent, respectively. Meanwhile, prices of townhouses declined by 16.3 percent.

The 4.6-percent quarterly growth in the residential prices may be attributed to the higher prices of condominium units, which were up by 12 percent; duplex housing units, up by 3.4 percent; and single-detached or attached houses, up by 2.7 percent. Meanwhile, prices of townhouses declined by 2 percent.

Nationwide residential real estate loan availment for new housing units fell yearly, but grew on a quarterly basis.

In the third quarter, the number of residential real estate loans granted for all types of new housing units in the Philippines fell by 4.2 percent yearly as loans in the NCR and outside of NCR contracted by 2 percent and 5.7 percent, respectively.

In contrast, the nationwide availment of housing loans rose by 19 percent quarter-on-quarter, following the 32 percent and 11.5 percent growth in loans in the NCR and outside of NCR, respectively.

The average appraised value of new housing units in the country stood at P84,589 per square meter in the third quarter. The average appraised value per square meter in NCR was at P139,283, higher than both the national average and the average appraised value in outside of NCR at P47,129.

In the third quarter, single-detached and attached houses continued to constitute the largest weight at 58 percent. Meanwhile, condominium units, townhouses, and duplex housing units accounted for 24.5 percent, 17.0 percent and 0.4 percent, respectively.

The weight of each type of housing unit is determined by dividing the total floor area in square meters of a specific type of housing unit over the total floor area of all housing types.

The BSP’S data is a measure of the average change in the prices of various types of housing units, such as single-detached or attached houses, duplex housing units, townhouses, and condominium units, based on banks’ data on actual mortgage loans granted to acquire new housing units only. It is a chainlinked index, which is computed using the average appraised value per square meter, weighted by the share of floor area of each type of housing unit to the total floor area of all housing units.