The Philippine real estate industry is picking up as the country moves towards more positive developments from post-pandemic recovery initiatives, a study by property portal Lamudi claimed recently.
The study did acknowledge concerns drawn from uncertainty following the recent elections, particularly its implications to the Philippine economy after news of the Philippine Stock Exchange Index’s immediate decline sprad after the polls.
But it anticipated “more clarity” as economic agendas and housing plans from the new administration roll out.
Since the filing of certificates of candidacies in October 2021, property seeker activity on Lamudi dipped significantly thrice: the Christmas season, during the Holy Week celebration, and in the days leading up to the national elections last May 9th.
Property buying and selling activities may have taken a pause during these periods as offices close and clients schedule meetings before or after the festivities, the study surmised. Property seekers and sellers alike are out and about and partaking in the holiday activities during these weeks.
But volatility is expected amid the political noise during election season. In general, elections create market uncertainty as project and policy continuity hangs in balance. Investors take wait-and-see stances as an economic agenda, cabinet appointments and post-pandemic recovery plans from the presumptive new president roll out.
Optimistic consumer environment
The property seeker market on Lamudi assumed the same position. Leads attracted by the platform dropped by 3% (April 25 – May 1, 2022) and 12% (May 2 – May 8, 2022) respectively in the two weeks leading up to election day.
But property-seeking activity on the platform improved as leads picked up by 8% during the week of election day (May 9 – May 15, 2022) and has remained stable in the week since.
Looking at week-on-week trends on Lamudi since the filing of candidacies in October 2021 until the week following the elections, growth in property-seeking activity on Lamudi coincided with periods marked by a safe and encouraging business environment. There were high week-on-week upticks in leads during times when the country was well past recovery from a COVID-19 variant, as well as at the beginning of the year.
Leads during that period were consistently increasing and at its highest in early March, as the country recovered from the spread of the Omicron variant and as pediatric vaccination against COVID-19 expanded.
The Lamudi study said it looks forward to seeing such efforts continued, and anticipates announcements on housing reforms and infrastructure development “to appease investor doubts and guide broker and developer activity.”