Showing posts with label Real Estate News. Show all posts
Showing posts with label Real Estate News. Show all posts

Tuesday, April 19, 2022

War in Ukraine & Russia: Will the Philippine Economy and Real Estate Be Affected with this event?




Recent news have been flooding the news, our social media feeds etc about this activities happening in Eastern Europe which is happening now in Ukraine against Russian aggression. Although the Philippines is faraway from the possible conflict, there are 342 Overseas Filipino Workers who have left Ukraine and were affected with the conflicts as they flee for their safety to the Philippines or have settled temporarily in other European countries not affected with the conflict.

Monday, April 26, 2021

Inside Real Estate: The Rise, Fall and Redemption of the Xevera Communities in Pampanga

 
It has been a year since the distribution of the transfer certificate of titles of the unit owners who have completed their payments previously and are currently residing in the two Xevera subdivisions in Bacolor and Mabalacat City and the Sameera Subdivision in Angeles City. In the past decade, Globe Asiatique Realty Holdings Corporation under the leadership of their then president and CEO, Delfin Lee. Globe Asiatique Realty Holdings, Inc. (GA) was the one of the leading real estate development firms in Pampanga and other parts of the country.

Monday, April 12, 2021

Inside Real Estate: Condo or House Pasalo Phenomenon

 Have Condo or House Pasalo ring a bell to your ears?

It has been a recent phenomenon for investors in the past year since we went to a standstill a year ago, those initial investor who wish to immediately divest their real estate properties particularly residential condominiums, townhouses and homes in National Capital Region (Metro Manila) and elsewhere in the Philippines. In this topic, we will focus more on residential condominium which played a significant number of cases for assume balance.  A condo unit's assumption of balance (known as Condo Pasalo) from banks or other financial institutions where unit owners are currently struggling to keep up their payments of this supposed income producing investments as they became white elephants when the pandemic hit the country. The real estate sector almost near rock bottom where the residential condominium segments were the hardest hit at - 15% drop with residential leasing for condo significantly drop because of many factors  but there were definite increase in sales on residential properties outside of NCR and the townhouses in the city.  

Monday, March 1, 2021

Buying Real Estate Amidst COVID-19 Pandemic in the Philippines

 


"The Time To Buy is When There's Blood in the Streets."  - Baron Rothschild

With the ongoing pandemic and the disruption of business and everyday lives,  In the past few months, there are a lot of negative news being reported from negative economic growth that lead to recession, inflation of basic commodities including food and rising fuel costs, and the rising unemployment brought about by this sad ordeal in our country because of complacency and lack of foresight among key leadership. There are still opportunities arising from the sudden halt of our existence. People have learned to adapt in such events and scenario for the good or bad.

Monday, February 8, 2021

A Look Back on 2020 and Beyond: The Philippine Real Estate Sector (Part 2)

 


Residential Real Estate Prices Declines

In the recent BSP Residential Real Estate Index Q3 2020 report, there is a sharp decline of properties particularly residential condominiums by -23% with many investors affected with the pandemic and the decline of foreign workers of various Philippine Offshore Gaming Operators in Metro Manila which have become the renters of these properties. With high vacancies and non-payments of loans. Majority of owners have decided to sell off their condominiums for other interested buyers particularly real estate speculators due to possible circumstances such as non-availability of credit from financial institutions because of stringent requirements against risks and defaults with a slow economy in recession.

Monday, February 1, 2021

A Look Back on 2020 and Beyond: The Philippine Real Estate Sector (Part 1)


The Year 2020 has passed over the past few weeks and we have survive another year under fear of the pandemic which has brought a lot of challenges over the past month after the COVID 19 SARS-COV 2 in December 2019. As we Filipinos are hopefully awaiting the arrival of the Anti-COVID 19 vaccine to our shore which is one of the key factor to help jump start the economy again to recovery. Although, the vaccine is NOT a magic pill or a silver bullet to annihilate this disease. It will tremendously help of those infected with better chance of survival but surely challenging times lay ahead with new variants of SARS-COV2. 

Monday, December 7, 2020

Understanding Real Estate Markets & Cycle amidst COVID 19

 


With the current situation of the country and abroad, the global markets have been affected with the COVID 19 pandemic effects to the World Economy. There are current job losses, missed opportunities and money being lost brought about by such health crisis. All industries are dependent on Real Estate Market and are heavily connected with the national economy. In our recent post last February on the Philippine economic outlook for 2020, The Philippines had slowed down and has dipped to -7.3 % based from reports from Asian Development Bank. Contractions have been seen and felt all throughout the closure of the archipelago since March 16, 2020 to June 30, 2020 (Enhanced Community Quarantine) and the post lifting of ECQ to Modified General Community Quarantine in July 2020. A lot of businesses were affected with closures particularly the Micro, Small and Medium Enterprises (MSME) sector, hotel / tourism sector, airline and travel sector. Other sectors have were also affected with this great pandemic which contributed to the negative dip of the world economy in general. These industries are co-existing and reliant with each other and the real estate sector at the same time. In a recent reports from PSA released last month, says "The Philippines records a GDP growth rate of -11.5 percent in the third quarter of 2020".

Tuesday, August 11, 2020

The Philippine Economy and the "New Normal"


I have not been writing for the past few months and have been busy from other things that could detoxify and  destress myself  from this pandemic brought about by COVID-19 that has been trending with almost millions all over the globe were infected with this novel (new) virus. It not only affected production from manufacturing, agriculture, healthcare, and services but including private and public sector. 

Monday, April 20, 2020

Gentrification: When Old Neighborhood is Redeveloped Into A New Neighborhood

Photo by Marfil Graganza Aquino from Pexels

With the influx of migrant workers from mainland China working with locally based Philippine Offshore Gaming Operator (POGOs) companies located in Metro Manila and elsewhere in the major cities of the Philippines. A number of locals are being displaced and being uprooted out of their from their homes and old community where they have grown or lived over the years to accommodate new developments in place with old neighborhoods being torn down and redeveloped into new posh neighborhoods complete with business / commercial establishments and others catering only to those that can afford the luxury and lifestyle of the modern high society.

What is Gentrification?

Gentrification is a process of changing the character of a neighborhood through the influx of more affluent residents and businesses. This is a common and controversial topic nowadays with is happening around communities in Metro Manila. Politics, lack of urban planning and graft & corruption in recent times stirred problems in the NCR. In the world alone, housing rents have risen tremendously at three folds. An example of this is Amsterdam in the Netherlands and the city of London in United Kingdom with prices skyrocketing because of the tourism and international investors coming from the Far East. Local residents of London or Amsterdam are moving out of these cities and living a few kilometers away from suburban areas close to the capital or another city with lesser cost of living but accessible to their work / employment and businesses.


Monday, March 9, 2020

What is FATCA and Other Implications of this U.S. Law?


There is a questionable topic for former Filipinos with foreign citizenship regarding rules by Bangko Sentral ng Pilipinas and the commercial banks in the country in recent years if one have seen item's on application for new bank account or even when updating your bank account files. One will see some section concerning Foreign Account Tax Compliance Act (FATCA). FATCA is a tax law that compels U.S. citizens at home and abroad to file annual reports on any foreign account holdings. FATCA was endorsed in 2010 as part of the Hiring Incentives to Restore Employment (HIRE) Act to promote transparency in the global financial services sector during former U.S. President Barack H. Obama's administration.

Monday, February 24, 2020

A Property Appraisal Case Study For Australian Immigration Visa Application

Photo by Hugo Heimendinger from Pexels

This is one of the cases we handled over the past few years in giving our clients the tailor fit services in their compliance with their immigration requirement under Australian laws where they wish to migrate.

As a real estate professional we are happy to be of services to such people who are in need of such particular services that can help them fulfill a part of their dreams of living outside of their original home country. Such as this former clients of our who we had withheld their names and specific location and their current whereabouts.

Monday, February 3, 2020

Inside Real Estate: How To Flex Your Real Estate Payment Capability?

Photo by rawpixel.com from Pexels


For many Filipinos it is a dream for a family to own their home and live in a plot of land they call theirs as it shows pride and satisfaction for any homeowner to acquire a property for use as their primary home. 

It has been a problem for most  home buyers in building one's equity. It is worrisome for most home buyers, to have incur expenses to used for a down payments  which is out of pocket requirement for prospective buyers. However, there are Rent-To-Own schemes available but will be discussed on another topic.

Monday, January 20, 2020

Inside Real Estate: Real Estate Investing Trust (REIT) As Your Future Investment Vehicle

Screengrab from Youtube
Since the passing of Real Estate Investment Trust (REIT) Law or Republic Act 9856 in 2009, it was the talk of the town and was deemed another type of investment vehicle for people who wish to invest on properties from real estate developers.

We were given the opportunity to attend the event through Real Estate Brokers Association of the Philippines (REBAP) - National Chapter on that occasion of their 3rd National General Membership Meeting on which took place Wack Wack Golf and Country Club in Mandaluyong City.

Monday, January 13, 2020

Philippine Economic Outlook for 2020



Amidst the ongoing trade war between China and the United States of America including global issues pertaining to climate change, human rights and humanitarian crises happening around world and this country. Philippine economists  are optimistic are optimistic on our country's growth for year 2020. Bangko Sentral ng Pilipinas Deputy Governor General Francsico Dakila Jr. have recently reported good news collating with other non-government agencies such as Asian Development Bank are in fact optimistic with the growth of the Philippines with their positive economic forecast.

Monday, December 30, 2019

House Bill 4664: Reforming Real Estate Property Valuation Into One Standard


There has been a hot debate on the creation of House Bill 4664 also known a Real Property Valuation
and Assessment Bill which has reached third reading in the past few months and gained traction with a voting confidence of those in favor at 224 against 7 not in favor while one representative abstained in this creation of this bill. HB 4664 is one of priority bills of Duterte's administration.

Monday, October 28, 2019

The National Land Use Act (House Bill 5240 and Senate Bill 1522) And Other Issues on Land Use

Photo Courtesy from RTVM Malacanang Youtube Channel

During the 17th Congress in 2017, House Bill No. 5240 was formulated from other house bills with the title "National Land Use Act of The Philippines: An Act of Instituting A National Land Use Plan and Management Policy".

Its provisions and policies are incorporated on the said bill however, there is no Implementing Rules and Regulation (IRR) yet created because it is still in the process of becoming a law as reach its final reading by our country's legislative bodies  (congress and senate). How come it did not gain  traction since the past three years under President Rodrigo Duterte and previously by the former President Benigno Aquino. Jr or other past administrations.

Monday, September 30, 2019

POGOs: Why are they here in the Philippines (Part 2)?

Photo by Drew Rae from Pexels

Gambling As A Social Problem?


Although, gambling industry is a legal in the country and regulated by PAGCOR. In reality, gambling is highly addictive vice with money earned from easy /fast transaction. It can cripple one's finances if losses are incurred from such a devastating vice that could  also destroy personal relationships with family and friends.

Filipinos are not affected by these online gambling industry of these POGOs because it stated on the rules and regulation on the operation of offshore gaming that they are not allowed to play and have no access on these online vices. Most of these POGOs are owned by mainland Chinese with Filipino citizen partners under a formation of gaming and entertainment corporations through existing legal laws of the Phillippines through corporation which comprised of 60% owned by Filipinos and 40% owned by foreigners.

Monday, September 23, 2019

POGOs: Why are they here in the Philippines (Part 1)?


There has been a hot debate on social media and other media outlets concerning the growing number of Chinese workers in Metro Manila. A number of them are working on gaming industry which are composed of legitimate information technology based game development for the Chinese market or even cater the world market but most of them are involved in gambling through proliferating online casino which is "illegal and prohibited in their own country"

What Are Philippine Offshore Gaming Operators (POGOs)?

Philippine laws allows the creation of gambling and entertainment companies through the management of Philippine Amusement and Gaming Corporation (PAGCOR) a government owned enterprises which overseers and regulates these companies or corporation involved in this industry. There is an projected P 20 billion pesos revenue generated as stated by PAGCOR on the profits earned in this industry.

Win-win Situation for Our Filipino Compatriots?

For our local real estate professionals / property owners, it had given them prosperity as the demand of residential housing is rising, driving the market into overload with residential condominium units and office buildings. For examples: Those located in one floor in the Bay Area - SM Mall of Asia is being leased by these foreign workers or in McKinley Hill / West (BGC, Taguig City) to their Chinese locators with Filipino contacts.

Filinvest Land Inc and Megaworld Corporation are the biggest winners or could be the biggest loosers? at the same time in terms of office leasing for these foreign companies that are located on commercial or office buildings in their estates or owned by these real estate development companies around Metro Manila. SM Development Corp projects located near SM Mall of Asia are mostly on the leasing of commercial with majority in residential properties by private unit owners or handled private property management hired by private unit owners may or may not be associated with these developers.

In Paranaque alone, there were complaints from local residents of intrusion and being offered money by these foreign locators with their local counterparts in order to acquire a property of the said residents driving the fair market value of prices too steep for ordinary Filipinos to buy or own or even rent a home that led to local renters being driven away further from this area because of increase in rent or lease of residential apartments or homes. There was also an incident of Chinese only food park in Las Pinas with no business permits and unsanitary practice operating around the area which received a lot of attention from local residents and social media. Action was taken by local government unit of Las Pinas on this incident on complaints of the local populace of such illegal operation happening around their community.   

Why Chinese workers are here?

Similar to Overseas Filipino Worker (OFWs) they are working overseas in order to fulfill their needs and at the same time provide to their families left behind in mainland China. The recent events in US-China Trade tensions, have caused unemployment and layoff in China's manufacturing sector with the economy falling and the Chinese government creating a stimulus in order to maintain the economy with last year's GDP performance of 6.4% growth. Plus the compensation for a hired POGO workers who are compensated with P 80,000.00 to P 130,000.00 per month as a "data analyst"  per se with free living accommodation and allowance and return ticket to China who would grab an opportunity or refuse an offer for job like this. The POGO workers age usually in their early 20s to late 30s or some in their 40s. There was also rumors or speculation from other foreign communities / expatriates about POGO managers mainly that they earn at least P 1,000,000.00 to P 4,000,000.00 per month on managing a firm in the Philippines which is unverifiable?

External Security Threat?

Recently, Secretary of National Defense Delfin Lorenzana and other politicians in congress were alarmed with the possibility of external security threats of these POGOs sprouting near military bases and other important government installations. It has become a threat for local security forces against foreign intrusion with the possibility of espionage in our country by these foreign workers who are of military age men (MEM) in military lingo.  

Screen Grab from former Sen. Rafael Alunan's Facebook 

To be continued on our next article....

About the Writer

CRB Benedict Baluyut is a professional real estate broker, real estate appraiser and associate of C. F. Baluyut Realty. He is currently the Vice President for External Affairs, Real Estate Brokers Association of the Philippines, Inc. (REBAP) - Pampanga Chapter. You can get in touch with him at https://www.cfbaluyutrealty.com.





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Copyright 2004 - 2019 C. F. Baluyut Realty | Real Estate in Pampanga, Philippines. All Rights Reserved.

Monday, September 16, 2019

Why You Should Avail Tax Amnesty Now For Your Real Estate Properties!

People think that paying estate tax is a burdensome process but to relieve yourself from stress one should pay the right amount just to comply tax law's of the land.  The prior to the implementation of Republic Act 11213 (Tax Amnesty Act of 2019), payment of estate tax is at a rate of up to 60% and is very steep for many ordinary Filipinos.













By definition,  Estate Tax is a tax on the right of the deceased person to transmit his/her estate to his/her lawful heirs and beneficiaries at the time of death and on certain transfers, which are made by law as equivalent to testamentary disposition. It is not a tax on property. It is a tax imposed on the privilege of transmitting property upon the death of the owner.

Monday, September 2, 2019

Inside Real Estate: Can You Really Afford the Monthly Mortgage?




If yes, these are what you need to know first before making any drastic and tedious decisions because buying a real estate takes a lot of your finances and you should keep them in order for you to pay it regularly at the same time take pride in owning your very own home or your investment property. Therefore, it is imperative that studying first your personal finances, making decision with your husband or wife plus other expenses your family incur daily.