Yes, the analysis of Manila's property market is included in our pack
The question of 'the best neighborhood to buy a property in Manila' does not have a one-size-fits-all answer.
Some of you are buying to live there, while others want to make the best investment possible. Individual preferences and circumstances matter.
That’s why the article below is covering every intent.
At BambooRoutes, when we write a blog post or when we update our our property pack for the Philippines, we want to bring solutions and cover different aims in a clear and organized way.
Enjoy the read, and please remember that we are not financial or investment experts. This article is for informational purposes only.
To improve the readability and user-friendliness of this article, we will categorize neighborhoods in Manila into various groups, including budget-friendly options, emerging hotspots, and areas with high rental demand, among others. Consequently, some neighborhoods may appear in multiple categories and be mentioned several times throughout the article.
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How is the real estate market in Manila?
The real estate market in Manila is currently experiencing significant growth and interest, especially among foreign investors.
This bustling capital of the Philippines offers a unique blend of cultural richness, economic potential, and modern amenities, making it an attractive destination for various types of buyers.
One of the main strengths of Manila is its vibrant cultural and historical landscape. The city is home to unique landmarks like Intramuros, a historic walled area from the Spanish colonial period, and Rizal Park, a tribute to the national hero Jose Rizal.
These sites, along with bustling markets, diverse cuisine, and lively festivals, are distinct to Manila and contribute to its appeal.
Additionally, Manila's strategic location as a gateway to the Asia-Pacific region enhances its attractiveness for business and investment.
People are drawn to buy property in Manila for several reasons.
It's a hub for business and education, with numerous multinational companies and prestigious universities. This attracts professionals, students, and families looking for opportunities and a dynamic lifestyle.
The city's evolving skyline, featuring modern condominiums and commercial spaces, appeals to those seeking urban living.
Foreigners, in particular, are interested in Manila's real estate for investment purposes and as a retirement destination. The Philippines' relatively lower cost of living, coupled with the warmth and hospitality of its people, makes it an enticing option.
The government's initiatives to ease property ownership laws for foreigners add to this allure.
The dynamism of Manila's real estate market is evident in its continuous development and price appreciation. For instance, a notable data point is the consistent rise in condominium prices in key business districts over recent years, reflecting strong demand and investor confidence.
A unique aspect of properties in Manila is the integration of amenities and natural elements in residential developments. Many condominiums offer lush green spaces, water features, and expansive views of the city or Manila Bay, which is quite special in such a densely populated urban environment.
Looking to the future, properties in Manila are expected to gain value due to several factors.
The city's ongoing infrastructure development, like the Metro Manila Subway and improved road networks, will enhance connectivity and accessibility, boosting property values.
Moreover, the continued expansion of the business process outsourcing (BPO) industry and the rise in tourism will drive demand for both residential and commercial properties.
Top neighborhoods in Manila to consider for living
Areas in Manila that are budget-friendly
If you're looking to buy property in Manila on a budget, there are a few neighborhoods you might want to consider.
Here is a summary table. Below, we will give more details.
| Neighborhood | Average Price per sqm | Property Types | Resident Demographics | Strengths | Weaknesses |
|---|---|---|---|---|---|
| Caloocan | Low | Residential Houses, Townhouses | Middle-income Families, First-time Buyers | Growing Local Economy, Community Feel | Distance from Business Districts, Less Premium Amenities |
| Fairview, Quezon City | Budget-friendly | Single-family Homes, Mid-rise Condos | Middle-class Families, Individuals | Peaceful, Growing Commercial Areas | Traffic Congestion, Developing Amenities |
| Pasig | Competitive | Condominiums, Single-detached Houses | Young Professionals, Small Families | Strategic Location, Lifestyle Hubs | Flooding, Traffic |
Caloocan
This area is known for its affordability due to its location slightly away from the city center, making it less expensive than more central neighborhoods.
Property values in Caloocan may increase in the coming years due to ongoing infrastructure development, such as improved roads and public transportation, making it more accessible. Most properties for sale in Caloocan are residential houses and townhouses.
The average price per square meter in Caloocan is relatively low, attracting middle-income families and first-time homebuyers. The area's strengths include a growing local economy and a sense of community.
However, it's further from major business districts and has less access to premium amenities.
Fairview, Quezon City
Situated in the northern part of Quezon City, Fairview offers relatively lower property prices.
The area's affordability stems from its distance from the main business districts. However, with the expansion of public transportation and road networks, property values are expected to rise.
The area predominantly features single-family homes and mid-rise condominiums. The average price per square meter in Fairview, Quezon City is budget-friendly, appealing mainly to middle-class families and individuals.
Fairview's strengths include its peaceful residential atmosphere and growing commercial areas. On the downside, it's prone to traffic congestion and is still developing its urban amenities.
Pasig
Particularly in areas away from the Ortigas Center, Pasig offers more affordable options.
The prices are lower due to the varying stages of urban development across the neighborhood. Anticipated infrastructure projects and the city's overall growth suggest an increase in property values over time.
The property types range from condominiums to single-detached houses. The average price per square meter in Pasig is competitive, attracting diverse residents, including young professionals and small families.
Strengths of Pasig include its strategic location, burgeoning commercial and lifestyle hubs. However, some parts face challenges like flooding and traffic.
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Areas in Manila that are popular and upscale
When looking to buy property in Manila, three neighborhoods stand out as upscale and popular choices. These neighborhoods each have their unique character and draw different types of residents.
| Neighborhood | Average Price/Sqm | Resident Demographics | Strengths | Weaknesses |
|---|---|---|---|---|
| Makati City | High | Affluent locals, expats, professionals | Vibrant business district, lifestyle amenities | High cost of living, traffic |
| Bonifacio Global City | Medium-High | Young professionals, executives, expat families | Clean streets, green spaces, shopping & dining | Cost of living, traffic |
| Rockwell Center | Very High | Wealthy individuals, expats, professionals | Luxurious lifestyle, security, privacy | High cost, somewhat isolated |
Makati City
Makati is renowned for its high-end vibe and is a top choice for property buyers in Manila.
In Makati, you'll find luxury condominiums and upscale residential areas. The average price per square meter in Makati is steep, reflecting the area's exclusivity. The residents are a mix of affluent locals, expatriates, and business professionals, attracted by Makati's vibrant business district and lifestyle amenities.
Strengths include a robust commercial scene, top-notch dining, and entertainment options, and excellent connectivity to other parts of the city.
However, its weaknesses lie in its high cost of living and congested traffic during peak hours. Prices in Makati have been steadily rising, and this trend is likely to continue, keeping it in the high-demand bracket.
Bonifacio Global City (BGC)
BGC is a modern and dynamic area, known for its orderly urban planning and contemporary high-rise buildings.
The area predominantly offers luxurious condos and commercial spaces. It's a bit more affordable than Makati, but still on the higher end, with an upscale demographic comprising young professionals, business executives, and some expat families.
BGC is celebrated for its clean streets, green spaces, and a wide array of shopping, dining, and cultural venues.
The main drawbacks are the higher cost of living compared to other Manila areas and occasional traffic snarls. With continuous development and increasing interest from businesses and residents, BGC's property market is expected to remain strong.
Rockwell Center
This exclusive enclave in Makati is synonymous with opulence.
Properties in Rockwell Center are primarily high-end condos and apartments. Prices in Rockwell Center are quite high, reflecting the luxurious lifestyle it offers. Rockwell attracts a mix of wealthy individuals, expats, and high-ranking professionals.
The area's strengths include a self-contained community with upscale malls, boutiques, and restaurants, along with excellent security and privacy.
However, its exclusivity comes with a hefty price tag, and the area can feel somewhat isolated from the rest of Manila. Rockwell's property market is stable with a steady appreciation in value, and it's likely to retain its appeal for upscale buyers.
Make sure you understand the real estate market in Manila
Don't rush into buying the wrong property in the Philippines. Sit, relax and read our guide to avoid costly mistakes and make the best investment possible.
Areas in Manila that emerge as new hotspots
Let's explore these emerging neighborhoods in Manila that, according to our local partners and our customers, are getting quite a bit of buzz lately.
| Neighborhood | Price Trend | Resident Demographics | Strengths | Weaknesses |
|---|---|---|---|---|
| Poblacion, Makati | Increasing | Younger, artsy crowd, expats | Cultural hub, nightlife | Limited parking, noise |
| Kapitolyo, Pasig | Increasing | Young professionals, families | Culinary hotspot, urban-suburban mix | Traffic, limited public transport |
| Cubao, Quezon City | Increasing | Young, creative demographic | Cultural vibrancy, community | Developing infrastructure, safety |
Poblacion
Once known as a less desirable part of Makati, Poblacion has transformed into a trendy hotspot.
Initially a residential area with a somewhat gritty reputation, it's now a cultural and nightlife hub. The area's rise in popularity stems from its unique blend of old and new, with hip bars, cafes, and art spaces springing up alongside traditional Filipino establishments.
Prices in Poblacion are still more affordable than in the upscale neighborhoods, attracting younger, artsy crowds and expatriates seeking a vibrant, eclectic community.
The market here is expected to continue growing, but the rapid development could lead to gentrification concerns. Weaknesses include limited parking and occasional noise issues due to the bustling nightlife.
Kapitolyo
Kapitolyo is emerging as a food lover's paradise, attracting a lot of interest from property buyers.
Initially a quiet residential area, its evolution into a culinary hotspot with numerous restaurants and cafes has boosted its appeal. This neighborhood offers a mix of traditional houses and modern condos in Kapitolyo, with prices more accessible than in Manila's prime areas.
The resident demographic is diverse, including young professionals and families.
Its popularity is expected to rise, especially among food enthusiasts and those seeking a blend of urban and suburban living. However, traffic congestion and limited public transport options are drawbacks.
Cubao
Cubao is reinventing itself from a busy commercial area to a cultural and artistic center.
Known for the Araneta Center, it's gaining popularity due to revitalization efforts, including art galleries, indie music venues, and hip cafes. Property prices in Cubao are relatively lower, attracting a younger, creative demographic.
The area's evolution is expected to continue, potentially leading to increased property values. Strengths include a strong sense of community and cultural vibrancy.
However, its weaknesses lie in its still-developing infrastructure and occasional safety concerns.
Make a profitable investment in Manila
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Top neighborhoods in Manila to invest in property
Areas in Manila with a strong rental demand
If you're considering buying real estate in Manila for renting it out, these neighborhoods with high demand for rentals should be considered.
| Neighborhood | Type of Tenants | Popular Property Types | Average Rental Income | Rental Yield | Tips for Investment | Weaknesses |
|---|---|---|---|---|---|---|
| Makati City | Professionals, Expats | 1-Bed Condos, Studios | PHP 30,000 - 50,000 | 6-8% | Near Business Areas | High Property Prices |
| Bonifacio Global City (BGC) | Young Professionals, Families | 2-Bed Apartments, Lofts | PHP 50,000 - 80,000 | 5-7% | Close to Schools, Amenities | Oversupply Risk |
| Quezon City | Students, Young Professionals | Condos, Townhouses | PHP 15,000 - 25,000 | 6-9% | Near Universities, Transport | Traffic, Development Levels |
Makati City
Makati City stands out as a prime choice for long-term rentals in Manila, attracting a diverse pool of tenants, primarily professionals and expatriates working in the nearby business district.
The area is known for its upscale condominiums and commercial spaces, making it particularly appealing to those seeking a blend of luxury and convenience. Properties in Makati, especially modern one-bedroom and studio apartments in Makati City, are in high demand due to their proximity to multinational corporations, luxurious shopping malls, and a range of entertainment and dining options.
The average rental income for a one-bedroom condo in Makati City can range from PHP 30,000 to 50,000 per month, offering a rental yield of approximately 6-8%. When considering investment in Makati, focusing on well-maintained properties near key business areas can lead to higher rents and lower vacancy rates.
However, the high property prices and competition from numerous new developments could pose challenges, potentially impacting rental yields.
Bonifacio Global City (BGC)
Bonifacio Global City (BGC) is another hotspot for long-term rentals in Manila, known for its modern urban planning and high-end lifestyle offerings.
It attracts a mix of young professionals, expatriates, and families, drawn by its safe environment, well-planned infrastructure, and array of amenities. In BGC, two-bedroom apartments and lofts are particularly popular, catering to both single professionals and small families. These units typically fetch rental incomes between PHP 50,000 to 80,000 per month in Bonifacio Global City, with a rental yield of around 5-7%.
Properties close to major commercial hubs, international schools, and lifestyle centers are particularly valuable. Investing in properties with unique amenities like gyms, pools, and function rooms can increase attractiveness to potential tenants.
The downsides include the premium property prices and the potential oversupply of new constructions, which might affect future rental yields.
Quezon City
Quezon City offers a more affordable option for long-term rentals in Manila, attracting a broader demographic including students, young professionals, and starting families.
The demand in Quezon City is for a variety of property types, from condominiums to townhouses, particularly near educational institutions and government offices. Rental incomes for a standard one-bedroom condo in Quezon City range from PHP 15,000 to 25,000 per month, with potential rental yields of about 6-9%.
Properties near major universities, commercial centers, and transportation hubs are particularly sought after, promising lower vacancy rates and steady rental income. For investors, focusing on properties that offer basic amenities like security and accessibility to public transport can be beneficial.
However, one must be cautious about the area's susceptibility to traffic congestion and varying levels of neighborhood development, which can impact tenant preferences and property values.
Don't lose money on your property in Manila
100% of people who have lost money in the Philippines have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.
Areas in Manila where property prices might increase in the future
In these areas in in Manila you can still find properties at a reasonable price, with room for appreciation as the neighborhoods develop.
| Neighborhood | Kind of Tenants | Popular Property Types | Average Price per Night | Tips for Investment | Challenges |
|---|---|---|---|---|---|
| Makati City | Business Travelers, Tourists | Studio, 1-Bed Apartments | PHP 2,500 - 4,000 | Near CBD, Malls | High Standards Competition |
| Bonifacio Global City (BGC) | Expatriates, Business Travelers | Luxury Condos, Serviced Apartments | PHP 3,000 - 5,000 | Near Landmarks, Offices | Competition with Hotels |
| Quezon City | Students, Academics | Studios, Budget Apartments | PHP 1,500 - 2,500 | Near Universities, Transit | Varied Tenant Expectations |
Makati City
Makati City is a top choice for short-term rentals in Manila, appealing to business travelers and tourists seeking convenience and luxury.
Short-term tenants in Makati City are typically drawn to studio and one-bedroom apartments that offer a comfortable, hotel-like experience with amenities such as Wi-Fi, modern kitchens, and fitness centers. The average price for a night's stay in these properties can range from PHP 2,500 to 4,000.
Investors should consider properties close to the central business district, shopping malls, and restaurants to maximize occupancy and rental income. These areas usually see higher demand and can command premium prices.
However, the challenge lies in maintaining high standards to compete with hotels and other short-term rentals, as well as managing the fluctuating demand throughout the year.
Bonifacio Global City (BGC)
In Bonifacio Global City (BGC), the short-term rental market is buoyed by its reputation as a safe, upscale, and vibrant neighborhood.
It's popular among business travelers, expatriates on brief assignments, and tourists. Properties that do well in Bonifacio Global City are luxury condos and serviced apartments with amenities like high-speed internet, fully equipped kitchens, and 24-hour security.
The average nightly rate in BGC can be around PHP 3,000 to 5,000. For better returns, investors should focus on properties near popular landmarks, corporate offices, and lifestyle centers.
These locations ensure consistent demand and allow for premium pricing. The key challenge in BGC is the competition with luxury hotels and the need to maintain high-quality standards in the properties.
Quezon City
Quezon City, known for its universities, government offices, and entertainment venues, is also becoming popular for short-term rentals.
This demand in Quezon City is driven by students, visiting academics, and tourists. The most sought-after properties are budget-friendly studios and one-bedroom apartments, offering basic amenities like internet access and proximity to public transport. The average nightly rate in Quezon City can range from PHP 1,500 to 2,500.
Properties near educational institutions, shopping areas, and transit points are ideal for investment. They tend to have higher occupancy due to their affordability and accessibility.
The challenge in Quezon City is the competition with budget hotels and hostels, and managing the diverse expectations of short-term tenants.
Make sure you understand the real estate market in Manila
Don't rush into buying the wrong property in the Philippines. Sit, relax and read our guide to avoid costly mistakes and make the best investment possible.