RESIDENTIAL real estate prices index (RREPI) of various types of new housing units in the Philippines grew faster in the first quarter of 2023 at 10.2 percent year-on-year (YoY), from 5.7 percent in the first quarter of 2022, according to the Bangko Sentral ng Pilipinas.
Growth in residential property prices in the National Capital Region (NCR) slowed to 7.3 percent, from 9.7 percent in the first quarter of 2022, as the price decline in condominium units dampened the price increases in duplexes, single-detached/attached houses and townhouses.
Meanwhile, in the Areas Outside the NCR (AONCR), residential property prices rose by 11.4 percent, with prices of all types of housing units rising, except for those of townhouses.
By housing type, prices of duplex housing units, single-detached/attached houses, townhouses, and condominium units contributed positively to the YoY growth in the nationwide RREPI as the indices increased by 22.1 percent, 17 percent, 1.8 percent, and 1.2 percent, respectively.
Loans
Also in the first quarter, the number of residential real estate loans (RRELs) granted for all types of new housing units in the Philippines grew by 16 percent YoY, as RRELs in the NCR and AONCR increased by 16.5 percent and 15.7 percent, respectively.
The average appraised value of new housing units in the country stood at P73,724 per square meter in the first quarter. The average appraised value per square meter in the NCR was at P123,053, higher than both the national average and the average appraised value in the AONCR at P51,459.
In the first quarter, 80.5 percent of RRELs transactions were used to purchase new housing units. By type of housing unit, most of the residential property loans were used for the acquisition of single-detached/attached houses (47.8 percent), followed by condominium units (32.8 percent) and townhouses (18.9 percent).
Most of the RRELs granted in the NCR were for the purchase of condominium units, while RRELs granted in the AONCR were for the purchase of single-detached/attached houses.
By region, 28.7 percent of the total number of RRELs granted were from the NCR, while the balance was from Calabarzon (34.5 percent), Central Luzon (13.7 percent), Central Visayas (6.3 percent), Western Visayas (5.6 percent), Davao Region (2.8 percent), and Northern Mindanao (1.4 percent).