CEBU, Philippines - While Cebu is experiencing a good take up in real estate products, specifically condominium units, it needs more qualified rent managers to sustain interest of buyers from all over the world.
In an interview yesterday with Anthony Leuterio, president and chief executive officer CEO) of Leuterio Realty Company, he said that buyers of condominium and other residential units in Cebu are demanding for good rent managers, as sales of real estate properties here are more for investment purposes.
According to Leuterio, based on his company’s observation and buyers’ profile, about 70 percent to 80 percent of condominium and other residential units sold in the last few years in Cebu are funded by OFW (Overseas Filipino Workers) money, or the foreign investors.
These buyers need reliable rent managers to offer their units for rent, in order to get their ROI (return of investment) faster.
With this purpose, Leuterio recently established the rent.ph online portal to serve the growing need of property owners for rent managers.
Only few condominium sales are bought for personal purposes. The growth now, particularly in Cebu is driven by the investors’ confidence on Cebu’s economy and that “for rent†business is seen to be profitable here.
Cebu’s good tourism industry and high economic performance drove buyers from all over the world, putting their investments here in real estate.
While the interest is hot, what is seen to pose a challenge in the real estate sector in Cebu is the availability of rent managers.
Leuterio said his company is also developing a program to empower its brokers and sellers to become rent managers.
Rent managers are licensed agents, either brokers or salesperson, but they have to take training on this another dimension of the real estate business, he said.
“In Cebu, we will have more than 10 thousand units of inventories in two years for condominium alone. Owners of these units are mostly offering their properties for rent. They need to have good rent managers to manage their properties,†said Leuterio.
Earlier, real estate analyst Enrique Soriano said that Cebu is far from experiencing a real estate “burstâ€, while the market is still promising, fueled by the increased income level and purchasing power of Filipinos.
This means that real estate developments will continue to thrive in Cebu in the long term, while high-rise and condo-living style is seen to be more attractive for the buyers, and more profitable and attractive to developers.
The increasing purchasing power of Filipinos and increasing awareness of foreigners to make the Philippines as their second-home destination, sales of luxury and high-end residential units is expected to soar further in the next few years.
Economist Eduardo R. Banaag Jr., said that it’s not surprising that developers are now outsmarting each other in building more residential projects, specifically condominiums of which foreigners can easily buy and acquire.
According to Banaag despite the fast building of more condominium buildings in major cities, like Cebu, supply is running faster, and sales are soaring.
Aside from the foreign market, Banaag confirms that OFWs are also buying high-end condominium units, as second home, or as an investment. /JOB (FREEMAN)