OFWs, local markets keen about investing in Cebu properties this 2021

CEBU, Philippines – More Overseas Filipino Workers (OFWs) and active local markets are seen to lead the robust property investing in 2021, according to Filipino Homes founder Anthony Leuterio. 

Sharing his outlook for 2021, Mr. Anthony Leuterio said contrary to previous impression that OFWs are keeping their money while others are losing jobs, the demand for affordable condo properties such as properties priced at P2 million and below have expanded even during the height of the pandemic last year.

Furthermore, he said Cebu’s property market is also gaining strong interest and has remained one of the best investment vehicles among buyers coming from other provinces. 

Mr. Leuterio regarded these active condominium buyers from Dumaguete and Bohol, as well as others are “mostly investors.”

However, amid the rebound of buyers’ interest, Cebu is facing a shortage of affordable condominium inventories, Leuterio stressed.

‘Mismatch in terms of supply versus real demand’

He believes that Cebu’s property market is now facing a mismatch in terms of supply versus real demand.[1]

Thereby, he is urging developers to provide affordable properties and to continue to serve the requirements of Cebu’s end-user market that meet the buyers’ price.

If this demand cannot be met, “this could also raise the country’s residential backlog, which now stood at around Php 6 Million,” he reiterated. 

Leuterio urges developers to ‘identify the backlog segment’

This is why Mr. Anthony Leuterio is urging property developers in the country to “identify the backlog segment”. He said that about 80 percent to 90 percent of the country’s housing backlog is in the Php 2 Million and below level.

From the hyper real estate developments in Cebu in 2018 to 2019, most developers stopped building in 2020 due to fear of the uncertainties. [2] 

Leuterio said surprisingly, buyers’ appetite continued to rise even during the pandemic due to stable income of health workers abroad and realization of local buyers that property investment is one of the soundest investments during uncertainties.

He hopes that developers will see this as a “good problem” to further fuel the promising outlook for Cebu property in times of COVID-19 pandemic.

References: 

• Dagooc, E. (2021). OFWs local market take lead in buying properties. Philstar.
• JLL (2020). Philippine Property Market Overview (1H20)