Authored by the expert who managed and guided the team behind the Philippines Property Pack
Yes, the analysis of Cebu's property market is included in our pack
Buying an apartment in Cebu and wondering what rental income you can expect is probably the most important question before you invest.
We update this article regularly with the freshest rental yield data, rent benchmarks, and cost breakdowns specific to the Cebu property market.
Everything here is written to be easy to understand, even if you have never invested in real estate before.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Cebu.
What rental yields can I realistically get from an apartment in Cebu?
What's the average gross rental yield for apartments in Cebu as of 2026?
As of early 2026, the average gross rental yield for apartments in Cebu sits around 5.0% to 5.5%, which is slightly higher than what you would find in Metro Manila's more saturated condo market.
Realistically, most apartment investments in Cebu will fall within a gross yield range of 4.5% to 6.5%, depending on unit size, location, and whether the property is furnished.
The main factor that causes yields to vary in Cebu is proximity to the major employment hubs like Cebu IT Park and Cebu Business Park, where BPO workers and young professionals create consistent rental demand that keeps vacancy low and rents steady.
Compared to other major Philippine cities, Cebu offers yields that are competitive with Metro Manila but with generally lower purchase prices, which means your initial capital requirement is smaller for a similar percentage return.
What's the average net rental yield for apartments in Cebu as of 2026?
As of early 2026, the average net rental yield for apartments in Cebu typically lands between 3.0% and 4.0% after deducting all recurring costs from your gross rent.
Most apartment investors in Cebu can realistically expect net yields in the range of 2.5% to 4.5%, with the higher end going to smaller units in prime locations that are self-managed.
The single biggest expense that reduces gross yield to net yield in Cebu is association dues, which in high-amenity towers near IT Park or Cebu Business Park can run between 50 and 90 pesos per square meter per month, eating into your rental income every single month.
By the way, you will find much more detailed data in our property pack covering the real estate market in Cebu.
What's the typical rent-to-price ratio for apartments in Cebu in 2026?
As of early 2026, the typical monthly rent-to-price ratio for apartments in Cebu hovers around 0.40% to 0.50% of the purchase price, which translates to roughly 4.8% to 6.0% gross yield on an annual basis.
Most apartment transactions in Cebu show rent-to-price ratios ranging from 0.35% to 0.55% per month, with the lower end reflecting premium towers where purchase prices have risen faster than rents.
The highest rent-to-price ratios in Cebu tend to appear in smaller studio and one-bedroom units located in areas like Lahug, Kasambagan, and the fringes of IT Park, where purchase prices are more affordable but rental demand from BPO workers remains strong.
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How much rent can I charge for an apartment in Cebu?
What's the typical tenant budget range for apartments in Cebu right now?
The typical monthly tenant budget for renting an apartment in Cebu in early 2026 ranges from around 15,000 to 45,000 pesos (roughly $255 to $765 USD or 240 to 720 EUR), covering the bulk of working professionals and young families looking for decent housing.
Tenants targeting mid-range apartments in Cebu, such as furnished one-bedroom units in established buildings near employment centers, typically budget between 25,000 and 40,000 pesos per month ($425 to $680 USD or 400 to 640 EUR).
For high-end or luxury apartments in Cebu, such as large two-bedroom or three-bedroom units in premium towers like those in Cebu Business Park or waterfront Mactan, tenant budgets start at 60,000 pesos and can exceed 150,000 pesos per month ($1,020 to $2,550 USD or 960 to 2,400 EUR).
We have a blog article where we update the latest data about rents in Cebu here.
What's the average monthly rent for a 1-bed apartment in Cebu as of 2026?
As of early 2026, the average monthly rent for a one-bedroom apartment in Cebu is around 28,000 to 35,000 pesos ($475 to $595 USD or 450 to 560 EUR), assuming a furnished unit in a decent location.
Entry-level one-bedroom apartments in Cebu rent for roughly 18,000 to 25,000 pesos per month ($305 to $425 USD or 290 to 400 EUR), and these are typically older buildings or locations slightly farther from IT Park, such as parts of Mandaue or Mabolo.
Mid-range one-bedroom apartments in Cebu, meaning furnished units in towers like Avida Riala or Solinea near IT Park with good building amenities, rent for around 25,000 to 38,000 pesos per month ($425 to $645 USD or 400 to 610 EUR).
High-end one-bedroom apartments in Cebu, such as units in The Alcoves at Ayala Center or premium IT Park towers with sea views, command rents of 40,000 to 55,000 pesos per month ($680 to $935 USD or 640 to 880 EUR).
What's the average monthly rent for a 2-bed apartment in Cebu as of 2026?
As of early 2026, the average monthly rent for a two-bedroom apartment in Cebu is around 55,000 to 75,000 pesos ($935 to $1,275 USD or 880 to 1,200 EUR), depending on location and building quality.
Entry-level two-bedroom apartments in Cebu rent for roughly 35,000 to 50,000 pesos per month ($595 to $850 USD or 560 to 800 EUR), and these are often found in older or mid-tier buildings in areas like Guadalupe or outer Lahug.
Mid-range two-bedroom apartments in Cebu, meaning well-maintained units in buildings like Calyx Residences or Asia Premier near IT Park, rent for around 55,000 to 80,000 pesos per month ($935 to $1,360 USD or 880 to 1,280 EUR).
High-end two-bedroom apartments in Cebu, such as units in Ayala Land developments or waterfront properties in Mactan, can command rents of 90,000 to 150,000 pesos per month ($1,530 to $2,550 USD or 1,440 to 2,400 EUR).
What's the average monthly rent for a 3-bed apartment in Cebu as of 2026?
As of early 2026, the average monthly rent for a three-bedroom apartment in Cebu is around 85,000 to 120,000 pesos ($1,445 to $2,040 USD or 1,360 to 1,920 EUR), with significant variation based on tower prestige and exact location.
Entry-level three-bedroom apartments in Cebu rent for roughly 60,000 to 85,000 pesos per month ($1,020 to $1,445 USD or 960 to 1,360 EUR), typically in older buildings or less central locations like Talamban or outer Mandaue.
Mid-range three-bedroom apartments in Cebu, meaning spacious units in well-regarded buildings near Cebu Business Park or IT Park, rent for around 90,000 to 130,000 pesos per month ($1,530 to $2,210 USD or 1,440 to 2,080 EUR).
High-end three-bedroom apartments in Cebu, such as penthouse units or large floor plates in premium developments like The Alcoves or 1016 Residences, can reach 150,000 to 200,000 pesos per month or more ($2,550 to $3,400 USD or 2,400 to 3,200 EUR).
How fast do well-priced apartments get rented in Cebu?
A well-priced apartment in a prime Cebu location like IT Park or Cebu Business Park typically gets rented within two to six weeks, assuming competitive pricing and good listing photos.
The typical vacancy rate for apartments in Cebu hovers around 10% to 16% in central areas, with occupancy rates having recovered to the 85% to 90% range in prime districts following post-pandemic BPO sector expansion.
The main factors that cause some Cebu apartments to rent faster than others are proximity to IT Park or Cebu Business Park, fiber internet readiness, building security quality, and whether the unit is fully furnished and move-in ready, which matters a lot to busy BPO professionals.
And if you want to know what should be the right price, check our latest update on how much an apartment should cost in Cebu.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in the Philippines versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
Which apartment type gives the best yield in Cebu?
Which is better for yield between studios, 1-bed, 2-bed and 3-bed apartments in Cebu as of 2026?
As of early 2026, studios and one-bedroom apartments in Cebu typically offer the best rental yields, usually outperforming larger units by 0.5 to 1.5 percentage points in gross yield terms.
The typical gross rental yield by apartment type in Cebu breaks down roughly as follows: studios at 5.5% to 6.5%, one-bedrooms at 5.0% to 5.8%, two-bedrooms at 4.5% to 5.4%, and three-bedrooms at 4.0% to 4.8%.
The main reason smaller units outperform in Cebu is that the BPO sector creates massive demand from single professionals and couples who want affordable, convenient housing near IT Park, and this deep tenant pool keeps vacancy low and competition for small units high.
Which features are best if you want a good yield for your apartment in Cebu?
In Cebu, the features that most positively impact rental yield are walkable proximity to IT Park or Cebu Business Park, reliable building management with functioning elevators and 24/7 security, fiber internet availability, and being fully furnished with a practical layout that BPO workers can move into immediately.
Mid-floor units in Cebu tend to rent slightly faster than ground-floor or very high floors, because tenants want to avoid street noise while also not waiting too long for elevators in buildings where lift reliability can be inconsistent.
Apartments with balconies in Cebu do command a small rent premium of around 5% to 10%, but the extra space matters most in two-bedroom or larger units where families or roommates value outdoor space for drying laundry or having morning coffee.
Building features like swimming pools, gyms, and parking do help justify higher rents in Cebu, but you need to weigh this against the higher association dues that these amenities require, which can eat into your net yield if the rent premium does not fully offset the cost.
Don't buy the wrong property, in the wrong area of Cebu
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Which neighborhoods give the best rental demand for apartments in Cebu?
Which neighborhoods have the highest rental demand for apartments in Cebu as of 2026?
As of early 2026, the neighborhoods with the highest rental demand for apartments in Cebu are Lahug, Apas, and Kasambagan around IT Park, plus Luz and Mabolo near Cebu Business Park, and the Mactan Newtown area in Lapu-Lapu City.
The main demand driver that makes these Cebu neighborhoods attractive is their proximity to the massive BPO office clusters in IT Park and Cebu Business Park, where tens of thousands of workers want to live within walking or short commuting distance of their jobs.
In these high-demand Cebu neighborhoods, vacancy rates hover around 10% to 15% and well-priced units typically rent within two to four weeks, compared to two to three months in less central areas.
One emerging neighborhood gaining rental momentum in Cebu is the South Road Properties (SRP) area, where developments like NuStar Resort and new residential towers are attracting tenants who want a seaside lifestyle while still being close to the city center.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Cebu.
Which neighborhoods have the highest yields for apartments in Cebu as of 2026?
As of early 2026, the neighborhoods with the highest rental yields for apartments in Cebu are typically the "prime-adjacent" areas like Kasambagan, the edges of Lahug, and certain Mandaue City pockets near AS Fortuna Street, rather than the ultra-premium addresses themselves.
The typical gross rental yield range in these top-yielding Cebu neighborhoods runs from 5.5% to 7.0%, compared to 4.5% to 5.5% in the most premium towers where purchase prices have risen faster than rents.
The main reason these Cebu neighborhoods offer higher yields is that purchase prices remain more affordable due to slightly older building stock or less prestigious addresses, while rental demand stays strong because tenants still enjoy easy access to IT Park and other employment hubs.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of the Philippines. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
Should I do long-term rental or short-term rental in Cebu?
Is short-term rental legal for apartments in Cebu as of 2026?
As of early 2026, short-term rentals are generally legal in Cebu, but the practical legality depends heavily on your specific condo building's house rules, local business permit requirements, and whether your operation triggers tourism accommodation standards.
The main legal restrictions for operating a short-term rental apartment in Cebu involve three gatekeepers: your condo corporation must allow short stays under its house rules, you may need a business permit from Cebu City if you operate commercially, and the Department of Tourism has accommodation accreditation rules that can apply depending on how you market your unit.
If you plan to list on Airbnb in Cebu, you should first check your building's master deed and condo corporation rules for any rental restrictions, then consider registering your rental activity with the Cebu City business permit office if you operate it as a recurring income source.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Cebu.
What's the gross yield difference short-term vs long-term in Cebu in 2026?
As of early 2026, the gross yield difference between short-term and long-term rentals in Cebu typically favors short-term rentals by about 1.5 to 3.0 percentage points, but this advantage shrinks significantly once you account for higher operating costs.
The typical gross yield range for short-term rentals in Cebu runs from 6.5% to 9.0% if well-managed, compared to 5.0% to 5.8% for long-term rentals, but STR costs like platform fees, cleaning, and higher management fees can reduce net yields back toward long-term rental levels.
The main additional costs that reduce the net yield advantage of short-term rentals in Cebu include Airbnb platform fees of around 3% to 5%, cleaning costs between turnovers, higher utility bills, restocking consumables, and property management fees that often run 20% to 35% of revenue compared to 8% to 12% for long-term rentals.
To outperform a long-term rental in Cebu, a short-term rental generally needs to achieve at least 55% to 60% occupancy, because AirDNA data shows Cebu City short-term rentals averaging around 48% to 57% occupancy with an average daily rate of roughly $32 to $38 USD.
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What costs will eat into my net yield for an apartment in Cebu?
What are building service charges as a % of rent in Cebu as of 2026?
As of early 2026, the typical building service charge (association dues) for apartments in Cebu runs around 4% to 10% of monthly rent, or roughly 1,500 to 4,000 pesos per month ($25 to $68 USD or 24 to 64 EUR) for a typical one-bedroom unit.
The realistic range of building service charges in Cebu covers low-end buildings at 35 to 50 pesos per square meter per month up to high-end towers at 90 pesos per square meter or more, which for a 30-square-meter unit translates to 1,050 to 2,700 pesos monthly ($18 to $46 USD or 17 to 43 EUR).
In Cebu, higher-than-average service charges are typically justified by resort-style amenities like multiple swimming pools, full-time gym facilities, landscaped gardens, and 24/7 concierge services found in premium developments near Cebu Business Park or waterfront Mactan properties.
What annual maintenance budget should I assume for an apartment in Cebu right now?
A realistic annual maintenance budget for an apartment in Cebu is around 0.5% to 1.0% of the property value, which for an 8-million-peso unit works out to roughly 40,000 to 80,000 pesos per year ($680 to $1,360 USD or 640 to 1,280 EUR).
Depending on apartment age and building condition in Cebu, maintenance costs can range from 25,000 pesos per year for newer units in well-managed buildings up to 100,000 pesos or more for older units needing aircon replacements, repainting, or appliance repairs ($425 to $1,700 USD or 400 to 1,600 EUR).
The most common maintenance expenses apartment owners face annually in Cebu are aircon servicing and eventual replacement due to heavy year-round use, repainting walls that suffer from humidity damage, water heater issues, and periodic replacement of appliances like refrigerators and washing machines that wear out faster in the tropical climate.
What property taxes should I expect for an apartment in Cebu as of 2026?
As of early 2026, the typical annual property tax (Real Property Tax) for an apartment in Cebu City is calculated based on the assessed value, with rates around 2% for cities plus an additional 1% Special Education Fund levy, though Cebu City has been operating under an amnesty period that keeps current rates at older levels until reforms take effect.
The realistic range of property taxes in Cebu depends heavily on assessed value, which is usually much lower than market value; for a condo with a market value of 8 million pesos, annual RPT might range from 8,000 to 25,000 pesos ($136 to $425 USD or 128 to 400 EUR) depending on assessment levels and location.
Property taxes in Cebu are calculated by multiplying the assessed value (typically 20% of fair market value for residential property) by the local tax rate, and then adding the Special Education Fund levy, with the exact effective rate varying by LGU and property classification.
Cebu City offers early payment discounts of up to 20% if you pay your annual RPT in full before January 31, and there is currently a tax amnesty in effect that waives penalties on delinquent taxes for payments made before the reform implementation in 2026.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Cebu.
How much does landlord insurance cost for an apartment in Cebu in 2026?
As of early 2026, the typical annual landlord insurance cost for an apartment in Cebu ranges from around 6,000 to 18,000 pesos per year ($100 to $305 USD or 95 to 290 EUR), covering unit contents, improvements, and basic liability.
Depending on coverage level and apartment value in Cebu, insurance costs can range from 4,000 pesos for basic fire coverage up to 25,000 pesos or more if you add comprehensive riders for earthquake, flood, and higher sums insured ($68 to $425 USD or 64 to 400 EUR).
What's the typical property management fee for apartments in Cebu as of 2026?
As of early 2026, the typical property management fee for apartments in Cebu runs around 8% to 12% of monthly rent for long-term rentals, which on a 30,000-peso rent works out to roughly 2,400 to 3,600 pesos per month ($40 to $60 USD or 38 to 58 EUR).
The realistic range of property management fees in Cebu spans from 5% for basic rent collection services up to 35% of revenue for fully managed short-term rentals that include guest communications, cleaning coordination, and dynamic pricing.
Standard property management services in Cebu typically include tenant sourcing and screening, rent collection, coordination of repairs and maintenance, handling tenant queries, and periodic property inspections, with some managers also offering furnishing and interior setup for an additional fee.
We made this infographic to show you how property prices in the Philippines compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Cebu, we always rely on the strongest methodology we can ... and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Global Property Guide | It's a respected cross-country property data publisher with transparent yield methodology. | We used it as the baseline yield benchmark for Cebu City by apartment size. We then validated those yields against live listing rents from major portals. |
| Bangko Sentral ng Pilipinas (BSP) | It's the Philippine central bank publishing official property price indices and exchange rates. | We used BSP's RPPI reports to anchor Metro Cebu price trends. We also used their FX data to convert USD-denominated benchmarks into current PHP figures. |
| Dot Property | It's a major regional property portal with large, current rental inventory. | We used it to check what landlords are actually asking in prime Cebu areas like IT Park. We validated our rent assumptions against visible listing prices. |
| Lamudi | It's one of the biggest Philippine property marketplaces for listings. | We used it as a second independent cross-check for IT Park and Cebu City rents. We avoided relying on any single portal's inventory. |
| AirDNA | It's a widely used STR analytics provider estimating occupancy, ADR, and revenue. | We used it to estimate realistic short-term rental revenue levels in Cebu. We compared STR gross yield against long-term renting returns. |
| Mandani Bay | It's a major Cebu developer publishing practical condo fee ranges. | We used it to anchor realistic association dues by building segment. We factored dues into our net yield calculations. |
| Lawphil (Local Government Code) | It's a primary legal text repository for Philippine statutes. | We used it for the legal basis of property taxation powers. We referenced it to explain the RPT and SEF framework. |
| Cebu City Government | It's the official city government website for permits and compliance. | We used it to explain business permit requirements for landlords. We referenced their RPT payment and amnesty information. |
| AXA Philippines | It's a regulated insurer showing typical condo coverage options. | We used it to ground what landlord insurance costs look like in practice. We built a realistic annual insurance budget line from their examples. |
| Cebu Daily News (Inquirer) | It's a major newsroom citing official PSA survey results. | We used it to anchor household income capacity in Central Visayas. We translated income data into practical tenant budget ranges. |
| Cebu Grand Realty | It's a Cebu-focused real estate agency publishing market insights. | We used their market reports to validate vacancy rates and demand trends. We cross-referenced their listing data for rent verification. |
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