With a number of different business districts within Manila and more on the way, the Philippines has evolved into a prosperous country with a lot of potential for overseas investors.  The fast growth in Bonifacio Global City and other business areas like Rockwell and the Century City the flagship development of Century Properties is attracting both commercial and residential property investors who want to purchase condos for sale in the Philippines.

Prospective investors should research different business districts, try and work out the best areas to invest in, and why these areas are attractive to residences to make a well-educated investment decision.

Read this article and discover why Manila property has been called a gold mine for overseas and domestic investors.

Why are Philippines Property Developments Different
Many of these Philippines property developments and relatively new, they are strategically designed and located and take inspiration from successful international property developments and business hubs, learning from the experiences of these. The residential buildings are located near the central business districts, schools, shopping, leisure, and transport with excellent infrastructure so that residents have easy access to everything they require, as well as being very close to their work place.

Today the demand for good residential properties and condos in the areas near more so and in the key business districts like Makati is extremely high. This is partly because of the high increase of BPO (Business Process Outsourcing) and International companies setting up office in Manila to expand business in the Philippines and to reach the massive ASEAN market.  The growing business activity is constantly bringing more people into the region and boosting the local economies.

Investment Returns
The important aim for most investors is to make a good return on investment.  Investors can achieve this couple of ways when you purchase a condo in the Philippines.  You can rent the condo and earn a regular rental income.  Investors can also keep the property for capital gains each year, and if an investor purchases off plan they will normally acquire the property below market value or receive a percentage discount  as well as an uplift in the property’s value during the building phase of the development.
According to Philippines property experts, “Philippines property currently appreciates at an average of 10 percent per year.”

According to the Philippines property experts at Experience International rental yields for quality Philippines condos in Manila are around 10% and capital growth is about 20% each year. Also some developers like Century Properties for example experienced 100% uplift in property values over the building of the properties in their recently completed developments.

After the recent 2007 economic turmoil in the western world overseas property investors are now even more careful with when entering new markets and opportunities..  Research the market in the Philippines and the economic growth factors, specifically in Manila and different investment opportunities and developments that are being built to choose condo residents will be excited to live in and feel confident in the knowledge you have done the necessary research and work to give your investment the upmost chance of success.

Manila is the economic center of the Philippines.  With more than 19 emerging business districts, Manila has become the premier place for people to live and work.  New construction projects and commercial projects are opening up jobs for the residents of Manila.  When there are job openings there are prospective tenants who want to rent near their work.  International investors can take advantage of the economic growth in the Philippines by finding quality tenants for their condos.  These tenants are willing to pay higher rents for a short commute, luxury amenities, and convenience.  This is what Manila has to offer.

If you are weighing the pros and cons of investing in Manila you should keep in mind that foreign nationals cannot own land 100% out right. Foreigners can only own a percentage of land as in a condominium which is part of a large development / land that is mostly owned by Filipino nationals. This does not pose a problem for most international investors because condominiums are in high demand and most of the new developments are condos.  Residents prefer condos because they are near the metropolitan area and they are in great condition.

You can expect very high rental yields if you invest in a condo off plan before the construction is completed.  Some developers have achieved 100 percent capital growth by the end of construction with as much as 10 percent capital growth each year after completion of the properties. Tenants rent tends to rise with the value of a property meaning investors who have purchases off plan at much lower prices than current market value can expect rental yields in excess of 10 to 15 percent each year.

Wise investors always do their homework before they invest in any type of property, no matter how inexpensive.  If you have been debating whether or not to invest in a Philippines condos you should take a look at the growing business districts in Manila before you decide.  Review developer projects and prices and make a great and profitable addition to your investment portfolio.

The research demonstrated the widening gap when comparing Metro Manila with the rest of the country, as both the financial and political hubs are showing faster growth in Manila than in the rest of the Philippines economy.

In its Regional Deposit Profile, the Philippine Deposit Insurance Corp stated that the National Capital Region accounted for 67.7% Of total deposits maintained in the Philippine banking system.

Of the outstanding bank deposits of P5.2 Trillion dated the end of June 2011, Metro Manila held 3.5 Trillion and the rest of the country accounted for P1.7 Trillion (32.3%).

It looks like rather than the figures levelling out; the ratio is increasing for Metro Manila’s larger share of the market and is showing no signs of slowing down.

During the first half of 2011, the National Capital Region grew faster with a 9.6% Growth compared with the 6.2% Increase in combined deposits in the rest of the Philippines. The national average deposit growth rate remained at 8.4% For H1 2011.

Also with this data released by the Philippine Deposit Insurance Corp, the company also stated that Metro Manila accounts for 42.7% Of the 37.6 Million total deposit accounts (June 2011), with the rest of the country having 57.3%.

This data is a good indication that Metro Manila is the wealthiest part of the country with more affluent people which is good news for owners and investors of Philippines Condos in the Manila area.

The 2009 CBRE Asia market report showed that Manila has some of the highest retail yields for luxury residential property in Asia and other research indicates that capital appreciation is high for in Condos in Manila also. With industry experts and property agents like Experience International predicting capital growth in the region of 10% – 20% each year and rental income of 10%+ depending on the quality and exact location of the development.

How Ascendant Demand Has Impacted Rental Yields and Capital Growth Opportunities

In the Philippines, global investors can own condominium property but they cannot own land outright, they can only own 40% of a plot unless their business partner or partners spouse is a Filipino national. This is why Manila condos are the most appealing for international investors. Most Manila properties are either condos or apartments. This means that international investors can legally acquire these properties and benefit from good rental income and capital growth as the Philippines economy continues to grow and especially in Manila.

A range of products are exported from the Manila each day. These goods include textiles, electronics, plywood, sugar, and beverages. The revenue made from exporting ensures a constant flow of money and has grown the amount of wealthy and affluent people in popular areas like Manila. When you invest in a luxury condo or apartment, you can expect rental income as high as 14 percent. Most people who are new to the Philippines will rent a Manila property before they buy. This means that the demand for rental units will stay strong providing the economy is successful.

A Splendid Standard of Living

When some investors think of buying properties overseas they might imagine investing in a property that is very basic especially if they are a new time investor or have a small budget. However most new residential developments targeted towards the overseas investor market in Manila property is elegant, modern, and packed with facilities. Some of the most sought after districts in Manila include Eton Bay Park, Kalaw Street, Rockwell, Manila Bay, Rockwell, Manila Bay Rizal Park, Acqua Private Residence, Ayala land, and Trump Tower Manila. Unfurnished properties begin at £28,000 and according to Liam Bailey Head of International Research properties are “set to double in value in the next 2 to 4 years.” With so much growth possibilities, some lenders in the Philippines are very happy to lend money for investing, to the right individuals or businesses of course.

Not all overseas investment opportunities are sensible. When you select to invest in property overseas you must checkout market trends, average rental yields, the economy, and reported capital appreciation. Review the benefits of investing in Manila property and benefit as the economy continues to grow.

Most apartments are affordable and a lot have flexible payment terms especially for the off plan properties. For instance one can pay very low instalments of each month over the build time. The good districts where you can find good quality apartments for sale in Manila include the sought after Rockwell, the Roxas Boulevard, Manila bay, Rizal Park, Eton Bay Park and Kalaw Street. Other good apartments can also be purchased around Robinson malls, SM Fairview, Makati residential resort and UP-PGH.

One residential building may have more than 100 units. In almost all of these residential complexes, there is always a large parking slot available to serve everyone living in the building.

Apartments for sale in Manila are a perfect investment opportunity. The multifaceted and diverse economy in Manila ensures that there is rapid development in every sector. Products such as, sugar, plywood, electronic goods, textile, and beverage are consumer locally and also exported overseas. This ensures that there is a constant flow of money in the economy with an increasing amount of more affluent people looking for good accommodation in the area which has pushed up rental yields to around 14% p.a.

Since Manila is the main seaport of the Philippines, it is one of the busiest ports in the world. The steady manufacture sector ensures that there is a constant demand for employees. This has caused a growing number of people working in Manila who are in need of accommodation to rent. If an investor purchases a few apartments they can live in one while renting the other or others and to generate returns on the investment. T

This is one of the main reasons why apartments and condos are rapidly becoming popular in Manila because of the strong demand and high rental yields.

The latest development projects in Manila are worth many billions of Peso’s. Such projects employ a sizeable amount of people who many of have come to the areas specifically for work and as mentioned earlier the people working Manila will of course need residential houses. People just starting out in manila always start by renting an apartment rather than buying and most will simply rent an apartment for a short period of time which of course brings returns to property investors. Within a short duration, these employees will again search for an apartment when there lease expires or they are making more money and want to upgrade or have discovered a certain district in Manila that they prefer. Also as one’s family grow, he or she may need a larger apartment. This means that demand for Manila property will never end as people in Manila are always looking for apartments to rent, lease or purchase.

The government is encouraging private individuals to invest property in Manila and also investing in real estate themselves. Recently the president authorized a project on a 20-hectare area. The investment known as the San Miguel City will be situated in the North Harbor. Such projects also ensure that the Economy within the city of Manila is stable. The projects are a major source of financial returns for most parties involved and are great news for Manila property investors and just another reason why Manila apartments are a sound business investment.

The popular celebrity has just embarked on a visit to Manila, where she will have meetings with representatives from real-estate firm to discuss her designing its planned urban resort called Azure in Parañaque City.

Officially named project ambassador, Hilton will also design the concept for the Azure Beach Clubhouse.

The project is a six-hectare residential development with a vacation inspired theme which boasts of a sizeable man-made beach.

“Her unparalleled style that made her a successful businesswoman and a style icon, as well as her zest for living the good life are the qualities that we would like to incorporate into our vacation-inspired residential property,” Mr. John Victor R. Antonio, Century Properties Chief Operating Officer recently announced.

“We chose Ms. Paris Hilton because of her exposure to travel and her predisposition to many aspects of design – from fashion, beauty, lifestyle to world-class service. Deciding to work with her was the logical choice as we found no other personality more suited to embody the upscale fashionable beachgoer,” Managing Director of Century Properties Robbie Antonio added.

In regards to the joint venture Hilton stated, “I look forward to working with Century Properties and feel confident they will develop an amazing and aspirational destination in Azure Urban Resort Residences. I will personally help design The Azure Beach Club, creating a unique and special place that will bring happiness to many people. I’m excited for people to experience it.”

Azure offers a range of 1, 2 and 3 bedroom condos and has been a favorite choice for investors favorite. This development of Manila Apartments will offer investors high rental yields and high anticipated capital growth.

The initial planned route will connect Clark Special Economic Zone to Metro Manila and the second will link the central business districts of Makati, Taguig and Pasay.

The construction of the two new train lines is anticipated to be operational before the end of the Aquino administration’s term.

Development Authority (BCDA) President and chief executive Arnel Paciano Casanova Bases Conversion has divulged that they’re in discussion with the Department of Transportation and Communications for the implementation of these developments.

Both rail projects are part of BCDA’s plan to join certain economic zones in Luzon and decongest some heavy traffic regions in the metropolis. The new train systems are also expected to help to increase the Philippine economy.

Bids for the development have been opened to the public-private partnership project and unsolicited bids. If new technologies are deployed in the train system, bids could be unsolicited, subject to certain conditions.

This is another example of the consistent attractiveness of investment in Manila. Crowned the strongest rental market in Asia, Manila has drawn the interest of both Filipino and overseas investors. Buy-to-let property has been a popular choice for investors becuase of the high rental yields and good capital appreciation.

If you would like to speak to someone regarding buy-to-let apartments in Manila then contact Experience International on 0207 321 5858 or go to Experience-International.com

The open sky policy is set to increase tourism as well as create new jobs and encourage economic growth in the region. In a recent live interview on Sunday morning with 990AM, Tourism Secretary Albertio Lim stated, “The success of the tourism industry is in the realisation of EO 29, together with the full implementation of the tourism infrastructure plans of President Aquino.”

“The next ‘big steps’ which the Aquino administration are pursuing to implement these plans include developing and improving our airports, attracting investments in tourism establishments, upgrading our unique products and services, and addressing the security risks identified by the US Federal Aviation Authority to upgrade the country back to Category 1,” Lim continued.

The open sky policy is part of the government’s plan to increase economic growth and tourism in the Philippines and to increase its competitiveness as a destination for investment. The Tourism Secretary has also encouraged airlines from outside of the Philippines to take advantage of the new policy to encourage economic growth.

“Without this, the targets of attracting over six million tourists, collecting $18.5 billion in tourism receipts, and creating three million new tourism jobs by 2016 will likely just end up as – like many other ambitious goals in the past – missed targets,” Lim stated in regards to opening up the open sky policy to overseas airlines.

“The economic potential of the policy, especially in bringing in more tourists resulting to the generation of new jobs and the stimulation of the local economy, is the “reciprocal benefit” of the open skies policy, which it is expected to affect millions of Filipinos,” explained Lim.

It is thought that the creation of additional jobs at the airport and within in the tourism industry will boost the numbers of Filipinos renting within the region. The government in the Philippines’ continual drive to increase economic growth is yet one of the many reasons why many investors are purchasing investment apartments in Manila.

Standing on opposite sides of the Pasig River two luxury buy to let investments, Edades and Acqua, offer strong rental yields for investors. Despite their close proximity, the developments could not be more different in terms of size, design and price. We’ve highlighted some of the key differences between the developments for potential investors to demonstrate the key fundamentals of these buy-to-let investments.

Acqua Private Residence
A popular choice with investors is Acqua Private Residence – 6 luxury towers being constructed by Century Properties, the largest private developer in the Philippines. Surrounded by lush greenery and enchanting water features its amenities include a modern-day Country Club, The Pebble and retail and dining haven, The Riverwalk Promenade.

Investors can purchase a one bedroom apartment for £37,772.55 and luxurious 2 bedroom apartments from only £80,508.44. Based on the developer’s previously completed projects, investors are anticipated to benefit from 100% capital growth over the construction time, a figure expected to be exceeded as it is a Riverfront Development. Along with strong projected rental yields of 14% NET and strong expected capital growth moving forward.

Due to the development’s size, Acqua has a range of different size buy-to-let apartments including smaller units that cater for a larger range of the rental market. These smaller size units are easier to rent as they are easier affordable for more people.

This is quite unique with a luxury development as typically they’re targeted at the top end of the rental market. Acqua’s ability of offer such a selection is appealing for investors as it almost guarantees high-occupancy rates and, as demand for residential condominiums in Manila is very strong, the resale options to the domestic market or other investors are very good.

Edades Tower and Garden Villas
Directly across the river in Manila’s business district, Edades Tower and Garden Villas are another example of residential buy-to-let apartments. The 4 luxury blocks and garden villas have onsite facilities including shopping, business centre, function rooms,, pool and lush green gardens.

This development also offers investors strong rental yields, however the entry level cost for investors is relatively higher. The starting pre-selling rate was 120,000 – 125,000 Philippine Pesos however apartment prices have appreciated – this happens twice a year at 3%-5% increments each time. Unlike Acqua, this development does not appeal to the mass market as it has been aimed towards the top end of the spectrum.

At the moment the average price per square meter for Edades Tower and Garden Villas is now at 155,000 – 160,000 Philippine Pesos. This is at lot higher than the average price per sqm for Acqua which is just 95,000 Philippine Pesos.

Despite Edades’ high entry level pricing, the buy-to-let units are delivered bare as standard. This means that investors need to arrange furnishes and fittings for the apartments. Optional fully-fitted and fully-furnished units are available for Acqua units, removing the requirement for an investor to arrange details for a truly hands-off investment.

Both Acqua Private Residence and Edades Tower and Garden Villas are positioned in perfect locations for buy-to-let investment  apartments in Manila and provide their investors significant rental yields.

Acqua private Residences is almost half the price of the closest competition despite the fact that both developments are situated right next to each other but on opposite sides of the river. Acqua’s lower entry level price and outstanding location makes the new buy-to-let apartments a popular choice for investors looking to make money from a hassle-free investment.

A Growing Economy is creating a High Demand for Apartments in Manila

The Philippines has a wealth of natural resources. Because of easy access to raw materials, The Philippines has evolved as a hot spot for manufacturing companies who are outsourcing plants for production. This outsourcing has generated jobs and economic wealth for the country. In 2008, The Philippines was ranked the 40th wealthiest urban agglomeration in the world. With the growing demand for raw materials internationally, it is expected that this rating will jump bounds within the next 5 years.

With more and more corporations setting up and outsourcing their plants and businesses in The Philippines, there is a growing requirement for properties close to the industrial center and business district of the metropolitan area. Makati and Rockwell have become the most sought after residential districts because they offer a quick commute and luxury accommodations.

The majority of residents in the Philippines are more inclined to rent condos and apartments because they are modern, comfortable and convenient. The demand for houses is also growing; however, most people in Manila prefer the benefits of living in condos and Manila.

Why Should You Invest in Philippines Property
As the demand for apartments in Manila grows, the rent rate also increases. If trends proceed at the current rate, the price of rent will increase by as much as 30% over the next couple of years. To profit from this increase in rent, you should consider acquiring apartments in Makati before other investors take them all. Once you invest in a property in Manila that is renting well, you will have peace of mind in the knowledge that you are earning a regular rental income that will put money in your pocket every month. Add the fact that capital appreciation is almost guaranteed and you cannot go wrong.

The Philippines property market has benefited from capital appreciation of 10% year on year over the past 5 years. This number is anticipated to increase as the economy grows. Prices are only going to appreciate as investors start to capitalize on the opportunity. Nowadays many overseas property investors are buying apartments in Manila including luxury condos in Makati to take advantage of a growing market conditions.