The Philippines was one of the few countries that posted double digit growth rates in the prime residential market during the COVID-gutted 2020, according to the London-based property consultant Knight Frank.
Prices of luxury residential units in the Philippines grew by 10 percent in 2020 based on Knight Frank’s Prime International Residential Index (PIRI) which tracks real estate prices in the top 100 cities in the world.
The Philippine’ ranked fourth-best in the world behind Auckland (up 17.5 percent), Shenzhen (13.3 percent), and Seoul (11.7 percent.
In Asia, the Philippines ranked ahead of Shanghai (up 8.5 percent), Tokyo (6 percent), Guangzhou (3.7 percent), Beijing (2.1 percent), and Taipei
(.7 percent). The rest of Asian cities posted declines including Bangkok (down 7.3 percent) and Hong Kong (down 6.9 percent).
“The speed at which some Asian cities, particularly Chinese Mainland markets, rebounded was the surprise trend of 2020,” said Knight-Frank.
Knight-Frank saw a surge in purchases of second homes for mountain, rural and waterfront living but Asian cities bucked the trend.
“The attraction of more space at often lower prices, at a time when people were less tethered to offices and schools, is perhaps not a surprise. The story was different in Asia, where only 27 percent of respondents are more likely to buy in a coastal or resort location. Here, the resort model is embryonic, and the spotlight on urban living is undimmed,” said Knight-Frank.