source: Asia.nikei.com
As of this writing in April 2025, there is a seismic shift happening in the condominium market in Metro Manila, ushering in great opportunities for buyers. A surplus of units with enticing pricing and incentives from developers has created what many believe is a perfect environment within which to invest. This is a stark contrast to Q4 2024, which recorded a 35 percent fall in condo demand following cuts to interest rates and ramped up marketing campaigns among developers.
Oversupply Hitting Prices
It is now struggling with a severe oversupply situation in the market. In fact, unsold condominium units skyrocketed by 77 percent in the first quarter, according to Colliers Philippines. In 2024, equivalent to some P158 billion in idle inventory. At the current absorption rate, it would take eight-and-a-half years to clear this backlog. . This has led to what industry watchers call a “silent fire sale,” with developers quietly discounting heavily for bona fide purchasers and investors to clear out excess inventory expected to take about 30 months to absorb at demand rates at the end of 2024.
Developers Are Making Buyer-Pleasing Offers
Facing a sales slowdown, developers are upping the ante with enticing offers. Many developers, according to Leechiu Property Consultants, are also doing this in some shapes or forms, by offering flexible payment terms, rent-to-own agreements or fully furnished units. Other perks include wellness-related amenities, exclusive memberships and limited-time discounts all designed to sweeten the pot for would-be homeowners and investors. These promos, combined with a buyer’s market, give buyers more negotiating power. With less competition and more choices, buyers can secure better deals and added value for their money.
Financing Remains Accessible
The Bangko Sentral ng Pilipinas has maintained its benchmark interest rate at 5.50% to help after several cuts in 2024 support this favorable market. As a result, stable Mortgage rates have been affordable for homebuyers. Coupled with an ample inventory of homes for sale, and the deep discounts that developers are still offering, now may very well be one of the most accessible times to buy in the last several years.
Should You Buy Now or Wait?
With condo prices softening, interest rates remaining stable and developers going the extra mile, many experts believe this is a good time to buy. enter the market. Buyers who act now could benefit from lower prices and better terms that may not last once the market begins to recover but be careful not to rush it. Considerations such as the property location, developer credibility and your financial preparedness should play a role in your decision. With current conditions working in your favor, but when precisely to pull the trigger on a purchase depends on your own goals and investment strategy. Bottom line:The door is ajar for shrewd buyers but step through with care.
Conclusion
Real estate investing: the condo market in Manila 2025 — the golden goose for serious buyers An oversaturated industry driving down prices and developers eager to cut a deal, the stage is set for those serious to invest. Whether purchasing for personal enjoyment or long-term appreciation, leverage in the current climate may quickly disappear as the market stabilizes. Move shrewdly, and now may be your opportunity to lock in substantial value in town.
