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Where are the best places to invest in Davao City right now? Is the downtown area still the top pick, or are neighborhoods like Lanang, Matina, and Buhangin gaining ground? What makes these locations attractive to both local and foreign investors?
We’re often asked these questions because we work directly with developers, real estate agents, and clients who invest across the city. Our firsthand experience in these markets gives us unique insights into where the real opportunities lie. To save everyone from asking privately, we’ve written this article to share our knowledge broadly.
Our goal is to highlight the hottest markets in Davao City and explain why they’re worth your attention in 2025.
If you have suggestions or want us to dive deeper into a specific area, let us know. You shoot an email, we answer within 24 hours.

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1) Toril is attracting interest with its affordable land and growth potential as urban expansion moves southward
Toril is catching eyes for its affordable land prices, making it a hot spot for potential buyers.
Compared to other parts of Davao City, land in Toril is a bargain. Commercial lots have been priced between PhP 25,000,000 and PhP 180,000,000, while agricultural lots range from PhP 3,600,000 to PhP 10,000,000. This affordability is drawing in investors looking for cost-effective opportunities.
Infrastructure is a game-changer here. The Davao Bus Project, with its 29 routes and new bus depots in Toril, has boosted public transport and accessibility. This makes it easier for both residents and investors to get around, adding to Toril's appeal.
Toril is also on the radar for future development. Government plans highlight it as a focus area, with the City Government of Davao offering incentives like tax breaks and permit fee waivers to attract investment in agribusiness, tourism, and property development.
New shopping centers and business parks are in the pipeline, signaling a promising future for Toril. These developments are set to transform the area, making it even more attractive for potential buyers.
With urban expansion moving southward, Toril's potential for growth is undeniable. It's a place to watch for anyone considering property investment in the region.
Sources: Lamudi, Davao City Government, Davao City Government
2) Talomo is gaining interest for its mix of residential and commercial developments, offering diverse investment opportunities
Talomo is becoming a hotspot for real estate investors thanks to its lively mix of residential and commercial developments.
In recent years, property values in Talomo have been on the rise, with condominium units priced between P3.2 to P6 million dominating sales in 2022. This shows a strong demand for housing, which is a major draw for investors.
The area has seen a boom in residential projects, with a 160% increase in condominium units sold in the first half of 2022 compared to the previous year. This surge is matched by the growth of commercial spaces, as Davao added about 20,900 square meters of office space, highlighting the need for more business and retail spots in Talomo.
Infrastructure projects like the Mindanao Railway and the Davao City Bypass Road are making Talomo even more appealing by improving accessibility. These developments are set to boost the demand for mixed-use projects, offering a variety of investment opportunities.
Talomo's strategic location and ongoing developments make it a prime area for those looking to invest in both residential and commercial properties. The mix of new housing and business spaces is creating a dynamic environment that attracts diverse investments.
With its growing infrastructure and vibrant real estate market, Talomo is positioning itself as a key player in the region's property scene, offering a blend of opportunities for investors.
Sources: SunStar Davao, Philippine Property Hub

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3) Lanang is booming with its closeness to upscale shopping centers and luxury hotels, boosting property values
Lanang is a real estate hot spot because of its proximity to upscale shopping centers and luxury hotels.
Imagine living near SM Lanang Premier and Davao Park District, where the buzz of activity never stops. These shopping centers draw crowds, boosting foot traffic and making the area more attractive. This constant hustle and bustle is a key factor in the rising property values here.
Luxury hotels like Dusit Thani Residence Davao and Park Inn by Radisson add a touch of elegance to Lanang. Their presence not only enhances the area's appeal but also makes it a prime spot for both living and tourism. It's no wonder people are eager to invest in properties nearby.
Real estate agents often highlight the high demand for properties in Lanang. Many are keen to buy or rent here, thanks to its convenient location near shopping centers and hotels. This demand naturally pushes property values and rental yields higher.
Infrastructure projects like the Davao City Bypass Road and improvements to Davao International Airport are making Lanang even more accessible. These developments are further boosting property values, making it an even more attractive investment.
With all these factors combined, Lanang is not just a place to live; it's a smart investment choice. The area's growth shows no signs of slowing down, making it a prime location for anyone looking to buy property.
Sources: Philippine Property Hub, Davao Properties
4) Sasa is gaining interest for its closeness to the port and industrial areas, ideal for commercial and residential investments
Sasa is becoming a hot spot thanks to its strategic location near the Davao International Container Terminal (DICT), a key player in international trade.
Businesses in Sasa enjoy excellent logistics and transportation due to its proximity to DICT, making it a prime location for companies in trade and logistics. The area is buzzing with potential, especially for those looking to invest in commercial ventures.
Infrastructure projects like the Davao Bus Project are making Sasa even more appealing. These developments are not just about better roads; they’re about enhancing mobility and accessibility for everyone, from residents to businesses. This shows a clear commitment to transforming Sasa into a more attractive investment destination.
The population in Sasa has been on the rise, growing from 30,486 in 1990 to 54,862 in 2020. This steady increase signals a growing demand for residential properties, which is pushing property values up. As more people flock to the area, the need for both residential and commercial spaces is expected to keep climbing.
For those eyeing real estate, Sasa offers a unique blend of commercial and residential opportunities. Its strategic location near the port and industrial areas makes it ideal for diverse investments, catering to both business and living needs.
With ongoing infrastructure improvements and a growing population, Sasa is not just a place to live; it’s a place to thrive. The area is poised for growth, making it a smart choice for anyone looking to invest in the future.
Sources: Davao City Government, PhilAtlas, RDC XI
5) Agdao is gaining interest with its revitalization projects and improved public transport boosting property values
Agdao is quickly becoming a hot spot in Davao City for property buyers.
One big reason is the government's heavy investment in infrastructure. Take the new Agdao Farmer's Market, for instance. Completed in 2023, this modern facility replaced the old public market and created over 87,000 jobs in the region. This has given a significant boost to both social and economic activities, making the area more vibrant and appealing.
Public transportation has also seen a major upgrade. Thanks to the Davao Public Transport Modernization Project, modern electric and Euro-5 standard diesel buses now serve the area. With reliable timetables and designated bus stops, commuting has become much easier and more eco-friendly, attracting more people to consider moving here.
These improvements are naturally pushing up property values. While specific numbers for Agdao aren't available, it's a well-known fact that better public transit options can significantly increase real estate values. This is because improved transportation makes an area more accessible and attractive to both residents and businesses.
Agdao's revitalization projects and enhanced public transport links are making it a sought-after area. The new infrastructure and convenient commuting options are drawing attention from potential buyers, who see the potential for growth and a better quality of life.
As these developments continue, Agdao is set to become even more desirable. The combination of job creation, modern facilities, and improved transport is a winning formula for increasing property values and attracting new residents.
Sources: SunStar, Asian Development Bank, National Association of Realtors
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6) Bajada is thriving with its central location and growing commercial establishments, boosting property demand
Bajada is a hot market thanks to its central location and growing number of commercial spots.
In 2023 and 2024, property prices in Bajada saw a noticeable jump. Rental prices increased by 3% in just one month, and experts predict a steady annual growth of 5-7%. This makes Bajada an attractive option for potential buyers looking for promising returns.
The demand for properties in Bajada is evident from the high occupancy rates of 92% in 2024 for both residential and commercial spaces. This stability highlights Bajada's appeal, driven by its convenience and easy access to key areas.
Adding to Bajada's charm are the ongoing infrastructure projects in Davao City. These developments aim to improve traffic flow and accessibility, making Bajada even more appealing for residents and businesses alike. Such enhancements are expected to further boost Bajada's reputation as a prime investment spot.
For those considering a property purchase, Bajada offers a unique blend of centrality and growth potential. The area's strategic location and infrastructure improvements are key factors contributing to its rising popularity.
With its vibrant commercial scene and strategic developments, Bajada is poised to remain a sought-after market. Investors and homebuyers are increasingly drawn to its promising prospects.
Sources: Global Property Guide, National Association of Realtors, Philippine Property Hub
7) Buhangin is gaining interest with rapid property appreciation from ongoing infrastructure developments, ideal for long-term investments
Buhangin is seeing rapid property appreciation thanks to ongoing infrastructure developments.
The Davao City Bypass Road is a game-changer, having opened after years of construction. This road is designed to reduce traffic congestion and improve logistics, which directly boosts land values and property prices in Buhangin. Locals are already noticing the difference in travel times, making the area more appealing for both living and business.
Another major development is the expansion of the Davao International Airport. With over a billion pesos earmarked for renovations, the airport's growth is set to boost the local economy. Improved airport facilities often lead to increased business activities and tourism, which in turn drives up property demand. This makes Buhangin a hot spot for investors looking for long-term gains.
The Davao City Bypass Road doesn't just cut down on travel time; it also enhances accessibility and transportation links. This improved connectivity is crucial for attracting businesses and residents, as it enhances the overall convenience of the area. People are finding it easier to commute, which is a big plus for those considering moving to Buhangin.
With these developments, Buhangin is becoming more appealing for both residential and commercial investments. The area is transforming into a hub of activity, and the improved infrastructure is a key factor in this change. Investors are taking note, seeing the potential for long-term property value growth.
As these projects continue to unfold, Buhangin is poised to become a prime location for investment. The combination of reduced travel times, better airport facilities, and enhanced logistics is making it a magnet for new opportunities. Those looking to invest in property would do well to consider Buhangin as a promising option.
Sources: SunStar Davao, SunStar Davao, Shimz Corporation
8) Ecoland is attracting investors with high rental yields due to its strategic location near business districts and shopping malls
Ecoland is a hotspot for investors thanks to its high rental yields.
Located in Davao City, Ecoland boasts a 92% occupancy rate as of September 2024, signaling a strong demand for rental properties. This is great news for anyone seeking consistent rental income.
Its strategic position near business hubs like Matina and Lanang makes Ecoland a magnet for professionals and expatriates. These areas are bustling with commercial and industrial activities, attracting a workforce that prefers to live close by.
Adding to its charm, Ecoland is near popular shopping malls such as SM City Davao and NCCC Mall. These malls offer convenience and entertainment, making the area even more appealing for tenants.
In Davao City, there's a steady growth in rental prices and property values, suggesting that investments in Ecoland could appreciate over time. This means potential capital gains for investors.
Real estate market reports often highlight Ecoland's strategic location, recommending it as a high-demand area with potential for high rental yields and property appreciation. The growing population of professionals and expatriates in Davao City is driving this demand.
Sources: Philippine Property Hub, Davao Properties

We have made this infographic to give you a quick and clear snapshot of the property market in the Philippines. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
9) Calinan is drawing investors with its vast land for residential and agricultural development opportunities
Calinan is drawing attention from investors due to its vast undeveloped land, ideal for new projects.
With large tracts available, Calinan offers opportunities for both residential and agricultural developments, making it a versatile choice for different types of investors. The local government is actively promoting this area as part of Davao City's strategic growth management plan, focusing on suburban development and agricultural expansion.
In 2023 and 2024, reports highlighted that Calinan is part of Davao City's strategic growth plan, which aims to boost suburban and agricultural development. This initiative is likely to increase land transactions as more people recognize the area's potential for growth.
Infrastructure improvements, such as new roads and utilities, are underway in Calinan, enhancing its accessibility and appeal for development. These upgrades are crucial for attracting more investors and facilitating future projects.
The projected population growth in Davao City by 2045 suggests a rising demand for housing, which could drive more residential projects in Calinan. This anticipated growth makes the area even more attractive for those looking to invest in real estate.
Investors are keen on Calinan not just for its land but also for the strategic infrastructure developments that promise to transform the area into a thriving community. The combination of available land and planned improvements positions Calinan as a prime location for future investments.
Source: JICA Report
10) Ma-a is gaining interest for its strategic location near major roads and business hubs, boosting residential and commercial appeal
Ma-a is buzzing with real estate activity, thanks to its prime location near major roads and business hubs.
In recent years, especially in 2023 and 2024, property values in Davao, including Ma-a, have been on the rise. This uptick is fueled by a growing number of people and businesses flocking to the area, creating a higher demand for both homes and commercial spaces.
One of Ma-a's biggest draws is its proximity to major roads like the Davao-Cotabato Road and the Diversion Road. These routes make commuting a breeze, whether you're heading to work or out for some leisure time. For potential property buyers, this means less time stuck in traffic and more convenience.
The area is also seeing a boom in new commercial establishments and business hubs. With a significant amount of office space popping up, businesses are attracted to the area, bringing job opportunities with them. This makes Ma-a a desirable place to live, as residents can find work close to home.
Ongoing infrastructure projects, like the Davao City Expressway, are further boosting Ma-a's connectivity. This makes the area even more appealing for future developments, as getting around becomes even easier.
With all these factors in play, Ma-a is becoming a hotspot for real estate, offering a blend of convenience and opportunity for both residential and commercial interests.
Sources: SunStar Davao, AARoads Wiki, Davao Properties
11) Matina is gaining interest with its growing educational institutions, attracting families and boosting rental demand
Matina is becoming a hot spot for real estate, thanks to its growing number of educational institutions.
With new schools like Malayan Colleges Mindanao and the upcoming University of Asia and the Pacific Business Schools, families and students are flocking to the area. This influx is not just about convenience; it's about creating a community where education is at the forefront. Families want to be close to these institutions, making it easier for their children to attend classes without the hassle of long commutes.
This desire to live near schools is driving up the demand for rental properties. In Matina, the rental market is buzzing, with prices steadily climbing. This trend is evident in the Davao rental market, where the demand for housing is on the rise, reflecting the area's growing appeal.
Beyond just housing, these educational institutions are boosting the local economy. New schools mean more jobs, more businesses, and better infrastructure. This economic growth makes Matina an attractive place for real estate investors looking for promising opportunities.
The strategic location of Matina, coupled with its expanding infrastructure, is leading to rising property values. Investors are taking note, seeing the potential for significant returns in this thriving community.
As Matina continues to develop, it's clear that the presence of these schools is a major factor in its real estate boom. The area is not just a place to live; it's becoming a vibrant hub for education and growth.
Sources: Davao Rental Market Update, New Schools To Open or Recently Opened in Davao City, Davao Properties: Exploring the Growth of the Real Estate Market
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12) Mintal is gaining attention for its potential in converting agricultural land into residential areas, offering high returns
Mintal is turning heads in the real estate world due to its potential for transforming farmland into residential zones.
With more land development projects popping up, Mintal is shifting from agricultural to residential use, driven by the growing need for suburban housing in urbanizing cities like Davao. This trend is catching the eye of investors looking for promising returns.
Property values in Mintal are climbing. For example, in September 2024, the average rental price in Davao City, including Mintal, hit PHP 18,500 per month, a 3% bump from the previous month. This steady rise signals a strong demand for homes, hinting that property values will keep going up.
The local government is boosting Mintal's appeal with infrastructure upgrades like road improvements and urban development projects. These efforts aim to make the area more accessible and livable, attracting both investors and residents. Plus, with Davao City's population growth, estimated at 1,991,460 in 2024 and growing at 2.16% annually, the demand for housing in Mintal is only getting stronger.
While we don't have exact figures on how much farmland is being converted, the rising property values and development projects suggest a significant shift. This transformation is likely fueled by the high demand for housing and the potential for lucrative returns. Mintal's growth potential is highlighted by the steady rise in rental prices and property values, along with government backing for urban expansion.
Investors and future residents are taking note of Mintal's promise, as the area becomes a hotspot for real estate opportunities. The combination of development projects and government support makes Mintal an attractive choice for those looking to invest in a growing community.
Sources: World Population Review, Philippine Property Hub, PhilAtlas
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility.