Residential real estate prices edge slightly higher in fourth quarter 2018 : BSP

March 29, 2019

Residential real estate prices slightly rose by 0.5 percent year-on-year in Q4 2018 as the Residential Real Estate Price Index increased to 118 from 117.4 for the same quarter a year ago, the Bangko Sentral ng Pilipinas (BSP) said Friday.

Year-on-year prices of townhouses and condominium units grew by 11.4 percent and 0.6 percent, respectively.

Meanwhile, prices of single detached housing units declined by 1.9 percent.

Likewise, prices of duplex units (which account for only 0.37 percent of total new housing units reported) also decreased by 3.7 percent    y-o-y.

Quarter-on-quarter`, the index rose by 1.3 percent. For full year 2018, residential property prices, on average, grew by 2.9 percent compared to the previous year.

By area, the average residential property prices in NCR increased by 1.6 percent year-on-year, while those outside NCR declined by 0.8 percent.

In NCR, the rise in prices of single detached houses and townhouses more than offset the decline in prices of duplexes and steady prices of condominium units.

In areas outside NCR, the decline in prices of single detached houses outweighed the increase in prices of duplexes, townhouses, and condominium units. 

For the fourth quarter of 2018, about 75 percent of residential real estate loans were for the acquisition of new housing units.

By type of housing unit, 50.4 percent of residential property loans were for the purchase of condominium units, followed by single detached units (39.8 percent) and townhouses (9.3 percent).

By area, most of the loans granted in the NCR were for purchase of condominium units, while loans granted in areas outside NCR were for single detached houses.

By region, NCR accounted for 49.5 percent of the total number of loans granted during the quarter, followed by Calabarzon (24.2 percent), Central Luzon (7.4 percent), Central Visayas (5.5 percent), Western Visayas (4.2 percent), Davao Region (3 percent) and Northern Mindanao (2 percent).

NCR and the six other regions accounted for 95.8 percent of total housing loans granted by banks.  DMS