Property listing site Lamudi Philippines is planning to launch its first luxury housing fair event next year, hoping to tap the luxury market’s potential to attract investors from the Asean region.
In an interview last week, Lamudi Philippines Managing Director and Chief Executive Officer Jacqueline van de
Ende told reporters that the company is going to work with high-end developers to create an international event that will showcase the great quality of Philippine luxury developments to the market.
“I think Philippines is a very interesting destination for international investors,” van den Ende said. “With this event, we really want highlight Philippine luxury properties from the Asean perspective.”
Van den Ende noted that there is a lesser supply of residential properties in the high-end market compared to the other market segments.
“I think in the top end there is a scarce supply but there is actually healthy demand,” van den Ende said.
The managing director noted that serious property investors look at opportunities to invest from a regional perspective.
“Actually, if you look at serious property investors, they’re looking at the Asian-wide, not nationwide place. I think the Philippines is still a good opportunity for luxury real estate,” van den Ende said.
She added that it is the Philippine condominium market that is attractive to Asean investors, mainly due to the foreign ownership restrictions in land ownership.
“The Philippines is still obviously restrictive when it comes to land or houses, but for condos, I think Philippines is still a good opportunity,” van den Ende said.
Asked if there is local demand for luxury developments in the country, van den Ende said there is, but it is a rather small market.
“Actually a lot of expats are also investing in luxury,” van den Ende said “There’s definitely a small layer of the population who are actively investing in real estate.”
Similarly, van den Ende noted that at present, high-end developments only comprise a small portion of listings on the Lamudi website, as high-end developers are more “conservative” when it comes to marketing their properties online.
“The highest end developers are the most conservative because they have the biggest brand to protect,” van den Ende said.
However, these developers are starting to be open to the idea of online marketing, she added.
“I think they are now finally also seeing the opportunity for digital marketing and the need for digital marketing, that if they’re not somewhere online, people especially international investors might actually overlook the opportunity,” the managing director said.
At present Lamudi Philippines has around 60,000 listing, but only 1,000 to 2,000 listings are in the high-end category, which are properties that are priced higher than P30 million.