Thinking of Buying a Condo in 2025? Key Factors to Consider

With a reported oversupply of condominium units in Metro Manila and shifting real estate trends, prospective buyers might find 2025 a favorable time to invest in property—but only if they carefully evaluate their needs and goals.

Oversupply and Market Trends

According to Leechiu Property Consultants (LPC), Metro Manila’s oversupply of condos has reached 34 months as of November 2024. This surplus could lead to lower prices, says Chelsea Perino, managing director of global marketing at The Executive Centre.

“If it’s taking that long [to sell units], then theoretically the rates could come down because that’s what just naturally happens in the market,” Perino noted.

Key Questions for Buyers

Perino advises buyers to clarify their purpose before purchasing:

• Personal use: Is the property for your family or personal residence?
• Investment: Are you planning to rent it out or sell it later for profit?

Long-term considerations, such as career plans, proximity to work, and lifestyle changes, are equally crucial. “Your long-term goals will impact whether or not it makes sense,” Perino said.

Location Matters

A property’s neighborhood dynamics significantly influence its value. Perino cautioned against focusing solely on a property’s design, urging buyers to evaluate market conditions and accessibility within the area.

“Different neighborhoods within a large city like Manila will have varying market conditions. You need to check the city where it’s located,” she emphasized.

Renting vs. Buying

For many, the debate between renting and buying remains unresolved. Perino highlighted that renting might be the better option for some, especially if purchasing a dream home is financially out of reach.

“Think of [renting] as investing in your lifestyle and profession,” she said. “By renting, you’re creating an environment conducive to achieving your goals.”

For those seeking flexibility, she suggested vacation homes as an alternative investment. Such properties can be rented out on platforms like Airbnb or used occasionally by the owner.

Insights from PropertyGuru Asia Real Estate Summit

Perino recently spoke at the PropertyGuru Asia Real Estate Summit in Bangkok, where experts shared insights on future cities and sustainable real estate. The event also celebrated the Philippines’ success at the 19th Annual PropertyGuru Asia Property Awards, where notable developers like Robinsons Land, Federal Land, and Alveo Land received accolades.

Final Takeaways

Whether you’re looking to buy or rent in 2025, careful planning is essential. Consider your financial situation, lifestyle, and the local real estate market to determine the best option for your needs. As Perino concluded, “It’s about piecing together what works for you in your specific context.”