METRO Cebu led a rebound in Philippine housing prices in the second quarter of 2025, as strong provincial demand and increased loan take-up offset weaker conditions in Metro Manila, the Bangko Sentral ng Pilipinas (BSP) said Friday, Sept. 26, 2025.
Residential property prices nationwide climbed 7.5 percent from a year earlier, only slightly below the 7.6 percent pace in the first quarter. Quarterly, prices rose 4.2 percent, faster than the 2.6 percent recorded in the first three months of the year.
Metro Cebu posted one of the strongest increases outside the capital, with residential prices rising 11.5 percent year-on-year and 12.2 percent from the prior quarter. Balance Greater Manila Area led all regions with a 13.2 percent annual gain, followed by Metro Cebu, other provincial areas at 8.8 percent and Metro Mindanao at 7.7 percent.
The broader momentum came from areas outside Metro Manila, where prices grew 11.5 percent from a year earlier. By contrast, values in the National Capital Region (NCR) slowed sharply to 2.4 percent growth from 13.9 percent in the first quarter, while quarter-on-quarter they fell 3.6 percent.
Houses fueled the upturn, with prices jumping 13.1 percent nationwide, offsetting a 0.2 percent decline in condominium values. In Metro Cebu and other provincial areas, both houses and condos posted double-digit quarterly gains. In Manila, condo prices dropped 2.2 percent, reversing double-digit growth in the previous quarter, while house prices rose 14.3 percent.
Credit growth reinforced the trend. The number of residential real estate loans nationwide increased 14.7 percent year-on-year, snapping four straight quarters of decline. Metro Cebu saw an 18.7 percent jump in loan take-up, while Balance Greater Manila registered a 22.5 percent increase. Loans for condominiums surged nearly 40 percent nationwide, while house loans grew 2.7 percent.
The median price for all housing types stood at P3.41 million, with Cebu among the fastest-growing regional markets. NCR houses remained the most expensive at P7.01 million.
The BSP said the results align with improving consumer sentiment toward home buying, suggesting resilient demand outside Metro Manila could help sustain growth in the property sector despite higher borrowing costs and global headwinds. / KOC