September 28, 2024 | 12:00am
MANILA, Philippines — The residential real estate prices of various type of new housing units in the Philippines continued to pick up, but the growth rate eased for the fourth straight time in the second quarter, marking the slowest in two years, the Bangko Sentral ng Pilipinas (BSP) said.
Latest data from the BSP showed the Residential Real Estate Price Index (RREPI) rose by 2.7 percent to 166.5 in the second quarter from 162.2 in the same period last year. It was also 1.8 percent higher than the 163.5 recorded in the first quarter.
However, the year-on-year growth rate was slower than the 6.1-percent expansion recorded in the previous quarter, marking the slowest since the 2.6-percent rise in the second quarter of 2022.
“Residential real estate prices of various types of new housing units in the Philippines continued to increase in the second quarter. Residential property prices rose by 2.7 percent year-on-year, albeit at a slower pace than the 6.1-percent growth in the first quarter,” the BSP said.
The RREPI, launched in the first quarter of 2016, is used as an indicator for assessing the real estate and credit market conditions in the country, based on banks’ data on actual mortgage loans granted to acquire new housing units, excluding pre-owned or foreclosed properties.
The rise in RREPI during the second quarter was mainly driven by the increase in the prices of duplex housing units, condominium units and single-detached/attached houses.
Data showed that the prices of duplex units climbed by 27.1 percent to 254.9 in the second quarter, registering the highest annual growth rate among all housing types.
However, the BSP said the number of transactions for duplex housing units was relatively low as it only accounts for 0.33 percent of the 6,424 total number of new housing units sold in the second quarter. Most of these transactions were high-valued properties, which pulled the average price index upwards.
On the other hand, the prices of condominium units went up by 10.6 percent to 217.1, while the prices of single-detached/attached units inched up by 1.7 percent to 143.3.
Meanwhile, townhouses saw a contraction of 0.8 percent to 206.9 in the second quarter from a year ago.
By area, property prices declined by one percent in the National Capital Region (NCR) to 179.2 in the second quarter from 181 in the comparable year-ago period.
The residential real estate prices in areas outside the NCR rose by 4.2 percent to 162.3 from 155.8 a year ago.
The central bank also reported a 3.2-percent decrease in the number of real estate loans granted for all types of new housing units in the country from April to June.
This was fueled by the 0.9 percent and 4.2 percent decline in residential real estate loans in NCR and areas outside NCR, respectively.
Be the first to comment