Authored by the expert who managed and guided the team behind the Philippines Property Pack
Yes, the analysis of Manila's property market is included in our pack
If you're looking to rent or invest in Manila, you probably want to know how much apartments actually cost right now.
In this article, we break down typical rents for studios, 1-bedrooms, and 2-bedrooms in Manila, along with neighborhood comparisons and landlord costs.
We constantly update this blog post to reflect the latest Manila rental market data available.
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 Manila.
Insights
- Manila's condo vacancy rate sits around 25% to 26% in early 2026, which means renters have more negotiating power and landlords face longer listing times than usual.
- A typical 1-bedroom apartment in Manila rents for about ₱40,000 per month, but you can find units ranging from ₱25,000 in older areas to ₱60,000 in Makati or BGC.
- Rent growth in Manila for 2026 is expected to stay modest at around 2% to 4%, largely because new condo completions are slowing down after years of oversupply.
- Makati CBD and Rockwell maintain the lowest vacancy rates in Metro Manila, staying below 15%, which explains why rents there remain higher than the metro average.
- Electricity costs in Manila are among the highest in Southeast Asia, so renters strongly prefer units with inverter air conditioning, which can justify higher rents for landlords.
- Young professionals in Manila typically pay between ₱30,000 and ₱50,000 monthly for condos near Makati, BGC, or Ortigas, where nightlife and office access are priorities.
- Families looking to rent in Manila often choose Alabang or Quezon City, where larger 2 to 3 bedroom units cost between ₱50,000 and ₱90,000 per month.
- Transit-adjacent rentals in Manila, especially near MRT and LRT stations, typically lease 30% to 50% faster than comparable units farther from public transport.
- Landlords in Manila should budget around ₱10,000 to ₱25,000 per year for routine unit maintenance, plus monthly association dues that vary by building.
- Rental income in Manila is subject to either graduated income tax or a flat 8% rate, plus a potential 5% withholding tax if your tenant is a corporation.
What are typical rents in Manila as of 2026?
What's the average monthly rent for a studio in Manila as of 2026?
As of early 2026, the average monthly rent for a studio apartment in Manila is around ₱30,000, which works out to roughly $535 USD or €500 EUR at current exchange rates.
That said, you'll find studios ranging from about ₱20,000 to ₱45,000 per month (around $355 to $800 USD or €330 to €750 EUR), depending on where you look in Metro Manila.
The main factors that push studio rents higher or lower in Manila include the neighborhood (Makati and BGC command premiums), the building's age and amenities, and whether the unit comes furnished or unfurnished.
What's the average monthly rent for a 1-bedroom in Manila as of 2026?
As of early 2026, the average monthly rent for a 1-bedroom apartment in Manila is approximately ₱40,000, equivalent to about $715 USD or €665 EUR.
In practice, 1-bedroom rents in Manila range from ₱25,000 to ₱60,000 per month (roughly $445 to $1,070 USD or €415 to €1,000 EUR), with significant variation across the metro.
The cheapest 1-bedroom apartments in Manila tend to be in older buildings within Manila City proper, while the most expensive are in prime areas like Makati CBD, Rockwell, and BGC where corporate tenants and expats drive demand.
What's the average monthly rent for a 2-bedroom in Manila as of 2026?
As of early 2026, the average monthly rent for a 2-bedroom apartment in Manila is around ₱70,000, which translates to approximately $1,250 USD or €1,165 EUR.
The realistic range for 2-bedroom apartments in Manila spans from ₱45,000 to ₱110,000 per month (about $800 to $1,965 USD or €750 to €1,830 EUR), making this the unit type with the widest price dispersion.
Older walk-up buildings and areas outside the CBDs offer the most affordable 2-bedroom options, while premium towers in Makati CBD, Rockwell, and BGC command the highest rents due to building quality and location prestige.
By the way, you will find much more detailed rent ranges in our property pack covering the real estate market in Manila.
What's the average rent per square meter in Manila as of 2026?
As of early 2026, the average rent per square meter in Manila is approximately ₱1,000 per month, which equals about $18 USD or €17 EUR per square meter.
Across different Manila neighborhoods, rent per square meter ranges from ₱650 to ₱1,350 monthly (roughly $12 to $24 USD or €11 to €22 EUR), with older outer areas at the low end and Makati or BGC prime towers at the top.
Compared to other major Philippine cities, Manila's per-square-meter rents are significantly higher than Cebu or Davao, reflecting the concentration of corporate headquarters and expat demand in Metro Manila.
Properties that command above-average rent per square meter in Manila typically feature newer construction, premium building amenities, high-floor views, and proximity to business districts or transit hubs.
How much have rents changed year-over-year in Manila in 2026?
As of early 2026, rents in Manila have increased by approximately 2% compared to a year ago, which means they're roughly flat in real terms after accounting for inflation.
The main factors keeping rent growth subdued in Manila are the elevated vacancy rate from years of condo completions and the fact that supply is still being absorbed across Metro Manila.
This modest 2% increase is actually an improvement from 2025, when Colliers reported that rents in Manila softened and some submarkets saw slight declines as the market digested oversupply.
What's the outlook for rent growth in Manila in 2026?
As of early 2026, rent growth in Manila is projected to reach 2% to 4% in nominal terms over the coming year, with prime areas potentially seeing slightly stronger gains.
The key factors likely to support rent growth in Manila include a significant slowdown in new condo completions from 2026 through 2028 and continued demand from young professionals and the BPO workforce.
Neighborhoods expected to see the strongest rent growth in Manila are Makati CBD, Rockwell, and parts of Ortigas, where vacancy is already lower and supply is more constrained than in oversupplied Bay Area locations.
However, risks that could cause Manila rent growth to underperform include a weaker-than-expected economy, higher interest rates affecting tenant budgets, or slower-than-anticipated absorption of existing vacant units.
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.
Which neighborhoods rent best in Manila as of 2026?
Which neighborhoods have the highest rents in Manila as of 2026?
As of early 2026, the three Manila neighborhoods with the highest average rents are Makati CBD (Salcedo and Legazpi villages), Rockwell Center, and BGC (Bonifacio Global City), where typical 1-bedroom units range from ₱50,000 to ₱75,000 monthly (around $890 to $1,340 USD or €830 to €1,250 EUR).
These neighborhoods command premium rents in Manila because they offer walkability, excellent security, high-quality building stock, proximity to corporate offices, and a concentration of restaurants and retail.
The tenant profile in these high-rent Manila neighborhoods typically includes expats on housing allowances, senior corporate executives, and young professionals in well-paying industries like finance, tech, and BPO management.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Manila.
Where do young professionals prefer to rent in Manila right now?
The top three neighborhoods where young professionals prefer to rent in Manila are Makati CBD (particularly areas near Ayala Avenue), BGC, and the Ortigas-Kapitolyo corridor in Pasig.
Young professionals in these Manila neighborhoods typically pay between ₱30,000 and ₱50,000 per month (roughly $535 to $890 USD or €500 to €830 EUR) for a studio or 1-bedroom apartment.
What attracts young professionals to these Manila neighborhoods is the combination of short commutes to major office buildings, vibrant nightlife and dining scenes, modern gym and co-working amenities, and strong mobile connectivity.
By the way, you will find a detailed tenant analysis in our property pack covering the real estate market in Manila.
Where do families prefer to rent in Manila right now?
The top three neighborhoods where families prefer to rent in Manila are Alabang in Muntinlupa, New Manila and Katipunan areas in Quezon City, and Capitol Commons in Pasig.
Families renting 2 to 3 bedroom apartments in these Manila neighborhoods typically pay between ₱50,000 and ₱90,000 per month (approximately $890 to $1,605 USD or €830 to €1,500 EUR).
What makes these Manila neighborhoods attractive to families is the availability of larger unit sizes, proximity to international and private schools, lower density compared to core CBDs, and access to parks and family-friendly amenities.
Top-rated schools near these family-friendly Manila neighborhoods include International School Manila and Everest Academy in Alabang, Ateneo de Manila and Miriam College near Katipunan, and various international schools accessible from Pasig.
Which areas near transit or universities rent faster in Manila in 2026?
As of early 2026, the three areas near transit or universities that rent fastest in Manila are the Katipunan corridor near UP and Ateneo, the Taft Avenue area near DLSU, and locations near major MRT-3 and LRT stations along EDSA.
Well-priced properties in these high-demand Manila areas typically stay listed for only 15 to 30 days, compared to 45 to 90 days for overpriced or poorly located units elsewhere in the metro.
The rent premium for properties within walking distance of transit or universities in Manila is typically 10% to 20% above comparable units farther away, which translates to an extra ₱3,000 to ₱8,000 per month (roughly $55 to $145 USD or €50 to €135 EUR).
Which neighborhoods are most popular with expats in Manila right now?
The top three neighborhoods most popular with expats in Manila are Makati CBD (especially Salcedo and Legazpi villages), Rockwell Center, and BGC.
Expats renting in these Manila neighborhoods typically pay between ₱60,000 and ₱120,000 per month (approximately $1,070 to $2,140 USD or €1,000 to €2,000 EUR) for quality 1 to 2 bedroom units.
What makes these Manila neighborhoods attractive to expats is the combination of international-standard buildings, 24-hour security, walkable lifestyle amenities, English-speaking staff, and easy access to embassies and international schools.
The expat communities most represented in these Manila neighborhoods include professionals from the United States, United Kingdom, Australia, Japan, South Korea, and various European countries, many working in multinational corporations or the BPO sector.
And if you are also an expat, you may want to read our exhaustive guide for expats in Manila.
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Who rents, and what do tenants want in Manila right now?
What tenant profiles dominate rentals in Manila?
The three tenant profiles that dominate the rental market in Manila are young professionals working in CBDs, students near university belts, and expats in prime areas.
Based on market activity, young professionals represent roughly 40% to 50% of condo rental demand in Manila, students account for about 20% to 25%, and expats make up around 15% to 20%, with the remainder being families and other renters.
Young professionals in Manila typically seek furnished studios or 1-bedrooms near their offices, students look for affordable studios or shared units near universities, and expats generally prefer larger 1 to 2 bedroom units in premium buildings with full amenities.
Do tenants prefer furnished or unfurnished in Manila?
In Manila's condo rental market, roughly 60% to 70% of tenants prefer furnished units, while 30% to 40% opt for unfurnished apartments, particularly families planning longer stays.
The typical rent premium for furnished apartments compared to unfurnished in Manila is around ₱5,000 to ₱15,000 per month (approximately $90 to $270 USD or €85 to €250 EUR), depending on the quality of furnishings.
Tenant profiles that prefer furnished rentals in Manila include expats on shorter assignments, young professionals who value convenience, and students who don't want to invest in furniture they'll leave behind.
Which amenities increase rent the most in Manila?
The top five amenities that increase rent the most in Manila are dedicated parking, efficient inverter air conditioning, backup power or generator access, strong building security with professional property management, and fiber-ready internet connectivity.
These amenities in Manila typically command premiums of ₱2,000 to ₱8,000 per month each (roughly $35 to $145 USD or €35 to €135 EUR), with parking often being the most valuable due to limited supply in dense areas.
In our property pack covering the real estate market in Manila, we cover what are the best investments a landlord can make.
What renovations get the best ROI for rentals in Manila?
The top five renovations that get the best ROI for rental properties in Manila are fresh paint with improved lighting, upgrading to inverter air conditioning units, kitchen and bathroom fixture refreshes, adding built-in storage solutions, and improving ventilation.
These renovations in Manila typically cost between ₱20,000 and ₱100,000 (roughly $355 to $1,785 USD or €330 to €1,665 EUR) and can justify rent increases of ₱2,000 to ₱8,000 per month while significantly reducing vacancy time.
Renovations that tend to have poor ROI in Manila include luxury finishes that exceed neighborhood standards, major structural changes, and high-end appliances in budget buildings, as tenants won't pay premiums that exceed what comparable units nearby command.
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.
How strong is rental demand in Manila as of 2026?
What's the vacancy rate for rentals in Manila as of 2026?
As of early 2026, the vacancy rate for condo rentals in Manila is approximately 25% to 26%, which represents the peak of the current cycle as the market begins to stabilize.
Across different Manila neighborhoods, vacancy rates range from below 15% in resilient areas like Makati CBD and Rockwell to over 30% in oversupplied pockets like parts of the Bay Area.
The current vacancy rate in Manila is significantly higher than the historical average of around 10% to 15%, reflecting years of aggressive condo development that outpaced absorption, though new completions are now slowing.
Finally please note that you will have all the indicators you need in our property pack covering the real estate market in Manila.
How many days do rentals stay listed in Manila as of 2026?
As of early 2026, the average number of days rentals stay listed in Manila is approximately 30 to 45 days for well-priced units in decent locations.
Across different property types and neighborhoods in Manila, days on market range from 20 to 40 days in prime areas like Makati and BGC to 45 to 90 days or more for overpriced units or those in oversupplied locations.
The current days-on-market figure in Manila is higher than one year ago, reflecting the elevated vacancy environment where landlords must price competitively or offer incentives to attract tenants.
Which months have peak tenant demand in Manila?
The peak months for tenant demand in Manila are January through February (when companies finalize relocations and new hires settle in) and May through August (coinciding with school moves and mid-year hiring cycles).
The specific factors driving seasonal demand in Manila include the corporate budget cycle that triggers employee relocations in Q1, the academic calendar that moves students in before school years begin, and the BPO industry's continuous hiring patterns.
The lowest tenant demand months in Manila tend to be November through December, when fewer people relocate due to the holiday season and companies postpone hiring decisions until the new year.
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An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
What will my monthly costs be in Manila as of 2026?
What property taxes should landlords expect in Manila as of 2026?
As of early 2026, landlords in Manila should expect to pay annual real property taxes ranging from ₱5,000 to ₱30,000 (approximately $90 to $535 USD or €85 to €500 EUR) for typical condo units, depending on the assessed value and local government unit.
The realistic range of annual property taxes in Manila varies from ₱3,000 for modest units in lower-value areas to ₱50,000 or more for premium properties in high-value districts like Makati and BGC.
Property taxes in Manila are calculated based on the assessed value of the property (not market value), with rates set by each local government unit, and landlords receive annual or quarterly bills from their city or municipality.
Please note that, in our property pack covering the real estate market in Manila, we cover what exemptions or deductions may be available to reduce property taxes for landlords.
What maintenance budget per year is realistic in Manila right now?
A realistic annual maintenance budget for a typical rental condo in Manila is ₱10,000 to ₱25,000 (approximately $180 to $445 USD or €165 to €415 EUR), plus monthly association dues that vary significantly by building.
The realistic range of annual maintenance costs in Manila spans from ₱5,000 for newer units requiring minimal upkeep to ₱40,000 or more for older properties needing frequent repairs to stay competitive.
Landlords in Manila typically set aside 5% to 10% of annual rental income for maintenance and repairs, which helps cover unexpected issues while keeping units in lease-ready condition for the competitive market.
How much does landlord insurance cost in Manila as of 2026?
The estimated annual cost for landlord insurance on a typical condo unit in Manila is ₱3,000 to ₱12,000 (approximately $55 to $215 USD or €50 to €200 EUR), depending on coverage amount and perils included.
The realistic range of annual insurance costs in Manila varies based on the sum insured, with a ₱2,000,000 coverage amount at typical rates of 0.15% to 0.60% resulting in premiums of ₱3,000 to ₱12,000 per year.
Landlords in Manila can sanity-check their insurance quotes against the Insurance Commission's fire tariff framework, which provides official rate guidance for property coverage in the Philippines.
What utilities do landlords often pay in Manila right now?
The utilities landlords most commonly pay in Manila are monthly association dues and sometimes water bills in smaller leases, while tenants typically pay electricity and internet directly.
Monthly association dues in Manila typically range from ₱3,000 to ₱15,000 (approximately $55 to $270 USD or €50 to €250 EUR), while water costs average ₱500 to ₱1,500 monthly depending on consumption.
The common practice in Manila is for tenants to pay electricity directly to Meralco and internet to their chosen provider, because electricity is expensive and variable, making landlords reluctant to include it in rent.
How is rental income taxed in Manila as of 2026?
As of early 2026, rental income in Manila is subject to either graduated income tax rates (ranging from 0% to 35%) with allowable deductions, or an optional flat 8% rate on gross receipts for eligible taxpayers.
The main deductions landlords can claim against rental income in Manila include depreciation, repairs and maintenance, property taxes, association dues, insurance premiums, and interest on loans used to acquire the rental property.
A common tax mistake landlords in Manila should avoid is forgetting that if your tenant is a corporation or other withholding agent, they will withhold 5% expanded withholding tax from your rent, so your net cash received will be less than the contracted amount.
We cover these mistakes, among others, in our list of risks and pitfalls people face when buying property in Manila.
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 Manila, 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 |
|---|---|---|
| Colliers Philippines Quarterly Report | Colliers is a major global real estate consultancy and this is their official research publication for the Philippine market. | We used it to anchor the state of the market, including vacancy rates, supply outlook, and rent direction. We then layered listing-based rent levels on top to create peso estimates for 2026. |
| Global Property Guide Rental Yields | Global Property Guide publishes consistent cross-country datasets and shows rental and yield assumptions in clear tables. | We used it as the backbone for typical monthly rent levels by unit type. We cross-checked those levels against current asking rents on major Philippine listing portals. |
| Global Property Guide Price History | It's a long-running reference that compiles market indicators and cites upstream sources where available. | We used it to sanity-check the broader housing cycle narrative and investor context. We used that context to keep our 2026 rent growth outlook realistic. |
| Lamudi Manila Rentals | Lamudi is one of the biggest property portals in the Philippines with a large volume of current asking-rent listings. | We used it to ground our rent ranges in what people are actually asking right now. We then blended that with research-backed averages to produce confident estimates per unit type. |
| Lamudi Makati Condos | It's a high-volume marketplace for the most liquid and premium submarket in Metro Manila. | We used it as a live check on prime-area asking rents per month and per square meter. We used that to bound our high-rent neighborhood estimates and keep them plausible. |
| Bangko Sentral ng Pilipinas Visual MPR | This is the Philippine central bank's official inflation forecast publication. | We used it to anchor the 2026 inflation backdrop, which is important for nominal rent growth. We used that to convert market rent direction into a numeric rent growth outlook for 2026. |
| BSP Monetary Policy Full Report | It's the BSP's flagship report explaining the forecast framework and assumptions. | We used it to justify why inflation expectations matter for rent pricing and tenant budgets. We used it to frame 2026 rent growth as nominal versus real after inflation. |
| BIR eFPS Form 1601E Guidelines | It's an official BIR reference table used for expanded withholding tax compliance. | We used it to pin down the rental withholding tax rate commonly applied when a tenant is a withholding agent. We then explained what that means in practice for landlord cash flow. |
| BIR RMC 69-2023 | It's a primary BIR issuance that directly states the applicable percentage tax rate. | We used it to quantify the extra tax layer landlords can face if they're under the non-VAT threshold and not on the 8% option. We then mapped that to typical rental income scenarios in Manila. |
| BIR RMC 5-2025 Digest | It's a current BIR issuance clarifying how the withholding tax base is determined. | We used it to explain what amount the 5% applies to so readers don't miscompute it. We used it as a cross-check against the eFPS rate table. |
| BIR RR 16-2011 | It's a primary regulation that sets VAT treatment rules for leases and is widely cited for thresholds. | We used it to explain when residential leasing can be VAT-exempt versus VATable in principle. We used it to keep the tax section accurate and properly caveated for 2026. |
| Insurance Commission Fire Tariff | It's the national insurance regulator's official tariff reference for minimum rates. | We used it to anchor reasonable insurance premium rate ranges instead of guessing. We then translated those rates into peso budgets for typical condo units. |
| Insurance Commission Schedule of Rates | It's a regulator-published schedule that supports practical pricing ranges. | We used it to validate the ballpark premium levels implied by the fire tariff framework. We used it to support a concrete annual insurance cost estimate. |
| Maynilad Water Rates 2025 | It's a primary disclosure from the water concessionaire describing tariff changes and components. | We used it to ground the water bill part of monthly landlord and tenant costs. We then gave realistic monthly peso ranges rather than vague advice. |
| Manila Water Tariff Table 2025 | It's the concessionaire's published tariff table with effective date and approval references. | We used it to cross-check Metro Manila water costs for East Zone locations. We used it to keep utility budgets grounded for January 2026. |
| Philstar Meralco Rates Report | It reports the exact Meralco all-in PHP per kWh rate and compares month-to-month changes. | We used it as a near-term benchmark for electricity budgeting going into 2026. We then translated kWh usage into monthly peso costs for typical condos. |
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