More property buyers are looking to acquire a second home in the provinces, as wealthy people stuck in their Metro Manila homes seek investment opportunities elsewhere.
In a statement Friday, real estate consultancy firm Leechiu Property Consultants (LPC) said it has recorded an increase in transactions for resort communities in Batangas since March.
“At least 40 properties have changed hands in the past few months in Punta Fuego alone. I haven’t seen this volume of transactions in 20 years,” LPC President and CEO David T. Leechiu said in the statement.
The trend has resulted in increased land values in such gated communities. LPC provided data for three developments: Peninsula de Punta Fuego, Tali Beach and Kawayan Cove, which are all located in Batangas. In all three, land values per square meter (sq. m.) have grown 20%, 46% and 20% from last year, respectively.
In Peninsula de Punta Fuego, prices have reached P12,000 to P60,000 per sq. m., against P14,000 to P50,000 last year. In Tali Beach, land values per sq. m. stood at P7,200 to P20,500, growing from P6,400 to P14,000 a year ago. In Kawayan Cove, land values per sq. m. rose to P18,000 to P30,000 from P15,000 to P25,000 last year.
LPC expects this trend to continue with the completion of toll roads linking these developments to Metro Manila. It noted non-listed transaction values for average lot areas of 400 to 800 sq. m. now range from P10 million to P50 million.
“[B]ids for properties in these markets do not look like they will slow down anytime soon. In some areas, there are many offers but no homes to buy,” it said.
With continued improvements in provinces close to the capital, LPC expects that not only local residents, but also international tourists, may be attracted to invest in such resort properties.
“(These) are not just impulse buys driven by pandemic sentiments. They are also well-evaluated, carefully planned moves of investors with the foresight to know that these properties will remain prime long after COVID 19 (coronavirus disease 2019),” LPC said. — Denise A. Valdez
